The macroeconomic landscape of the EU’s economy in 2023 was characterised by a mixture of both positive and challenging trends.
While the labour market remained resilient and energy prices receded from their peaks, persistently high inflation and ongoing geopolitical risks undermined the economic outlook.
Also, rapid increases in central bank policy rates, after a prolonged period of historically low interest rates, dragged growth down.
On the fiscal front, rising interest expenditures burdened the euro area countries, particularly those with higher levels of public debt. (...)
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