EU Commission stated that the negative impact of the Russia-Ukraine war on the regional economy will continue.

The European Union (EU) Commission revised its inflation and growth forecasts for the Eurozone. The Commission raised its 2022 Eurozone inflation forecast from 6.1 percent to 7.6 percent and its 2023 forecast from 2.7 percent to 4 percent.

The growth forecast was reduced from 2.7 percent to 2.6 percent for 2022 and 1.4 percent for 2023. It was stated that Russia’s war created a dark cloud over the European economy.

The report said Moscow’s actions hurt energy and grain supplies, drove prices up, and undermined confidence. The record high inflation is expected to peak at the end of this year and is predicted to decrease gradually in 2023. However, it was emphasized that there are downside risks due to the uncertainty of the war.