Italy's Central Bank cuts 2027 growth forecast

The Italian Central Bank has lowered its forecast for the country's economic growth in 2027 to 0.4%, down from its previous estimate of 0.5%, while reaffirming that growth in 2023 will remain at 0.6%. The adjustment is attributed to the impact of rising commodity prices on consumption and purchasing power. The bank expects the economy to remain in a recession during the remaining quarters of this year before beginning to recover in 2027. Additionally, the bank anticipates the annual inflation rate to reach 3.1% this year and to slow down to 2.0% in 2024 amidst ongoing inflationary pressures.

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