The economic recovery of the euro area is proceeding faster than predicted, with the economy rebounding firmly over the medium term, the European Central Bank reported on Thursday in its latest economic bulletin, APA reports citing Teletrader.
Furthermore, the central bank said that the economy rebounded by 2.2% in the second quarter of the year and it is anticipating strong growth in the third quarter. Part of the reason for the upbeat outlook is the lifting of pandemic restrictions, which is beneficial for the services sector and manufacturing is also performing well.
However, the ECB cautioned that the coronavirus is still a threat to economic growth, particularly as it could slow the recovery in global trade and the full reopening of the global economy. Lastly, consumers are still somewhat cautious in their spending due to the pandemic, although the overall spending trend is going upwards.