Regional Economic Outlook for Europe, October 2024: A Recovery Short of Europe’s Full Potential

COMING SOON

Presentation of the Regional Economic Outlook for Europe

The Regional Economic Outlook (REO) report provides comprehensive insights into recent economic developments and future prospects specifically for countries in the region. It analyzes the impact of economic policy changes on performance, highlighting key challenges faced by policymakers in navigating complex economic landscapes.

RELEASE DATE

THURSDAY, NOVEMBER 14, 4:30 AM ET | 10:30 CET

Join us for a discussion on Europe’s economic challenges and efforts to support innovation, investment, and productivity in the aftermath of the Draghi Report and as a new EU leadership team takes office. The event will include a presentation of the latest IMF forecast and recommendations for Europe (Regional Economic Outlook), followed by a panel discussion.

The Regional Economic Outlook will be presented by Mr. Alfred Kammer, Director of the European Department at the IMF. He will then be joined by Ms. Kerstin Jorna, Director General for Internal Market, Industry, Entrepreneurship and SMEs (DG GROW), European Commission, and Ms. Isabel Vansteenkiste, Director General, International & European Relations, European Central Bank, for a panel discussion moderated by Ms. Angela Barnes, Business Editor, Euronews.

A Recovery Short of Europe’s Full Potential

Regional Economic Outlook for Europe, October 2024

Europe’s economy is recovering, benefiting from a strong crises’ response. Yet, the recovery is falling short of its full potential. Uncertainty about persistent core inflation, policy directions, and geopolitical conflicts, is dampening the near-term outlook. In the longer term, perennially weak productivity growth—a result of limited scale and business dynamism–-amid new headwinds from fragmentation and climate change are holding back growth potential. Steady macro policies are needed to navigate an uncertain environment. This requires transitioning to a neutral monetary policy stance and reducing fiscal deficits without jeopardizing the recovery. Policymakers also need to tackle barriers to higher potential growth. A larger and more integrated single market for goods, services, and capital will incentivize investment, innovation, and generate scale benefits. Deepening European integration will also strengthen economic resilience by insulating businesses and labor markets from global fragmentation pressures. These are formidable policy challenges, but now is the time to bring Europe to its full potential.