Economy: Gentiloni (EU Commission), “growth slowing down in the next two years”. Systemic risks from the coronavirus

(Brussels) The coronavirus also breaks into the world’s economy, with potential repercussions on European economy. It is a message reiterated by the European Commissioner for Economy, Paolo Gentiloni, who today, for the first time since his new position in Brussels, presents the Winter Economic Forecast. Global uncertainties affect the Forecast: the epidemic that came from China is compounded by the US trade policies (duties), the potential economic consequences of Brexit, the rise of oil prices. However, Gentiloni states, “growth will continue but it will be slowed down in the next two years, thus extending the long period of expansion” after the crisis. The Forecast predicts that the growth of the Gross Domestic Product (GDP) in the euro-zone will stay at 1.2% in 2020 and in 2021. As to the EU as a whole, the Forecast says that growth will marginally increase by 1.4% in 2020 and in 2021, versus the 1.5% of 2019.
Valentina Bombelli