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3 May 2021
Are the euro area’s economic prospects likely to worsen in a scenario where coronavirus variants continue to multiply?
The current situation is bittersweet. The first quarter was weaker than we expected three months ago. On the other hand, the pace of vaccination is gaining momentum across Europe. This is good news, because it will have a major impact on the economy. For the time being, it is estimated that growth will be around 4%. We expect the second half of the year to be very positive, even if there is still uncertainty. We note elsewhere that as soon as vaccination accelerates – like in the United Kingdom, Israel or the United States – the situation normalises rapidly. I hope that we will be in a much better situation by early summer.
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