Page 30 - Economic report 2020
P. 30
The level of uncertainty in economic forecasts The economic forecasts have been
for 2023 is particularly high and will depend on revised upwards but uncertainty is high.
various factors. Firstly, on how prices evolve
and to what extent the European Central
Bank will raise interest rates to anchor price expectations at around 2%, while avoiding financial
turbulence. To this uncertainty is added the behaviour of the labour market over the next few
months, since its recent development was greatly influenced by the dynamics of post-pandemic
recovery and the labour reform. Finally, the response to economic policies, both European and
national, and the execution rate of the NextGenerationEU funds will also influence the trend in
GDP in 2023 and 2024.
28 External environment of the Andorran economy | III. Spanish economy
