The European Commission has published its spring forecasts for economic growth in the European Union and member countries, including Montenegro.
According to Brussels forecasts, Montenegro's GDP will be recover faster this year and next year compared to countries in the region. It is expected to recover 7,1 percent this year after falling more than 15 percent last year. The European Commission expects the Montenegrin economy to recover from the pandemic next year, in 2022, and grow by another 6,5 percent on the wave of growth in consumption and investment.
“Montenegro went through a very deep recession in 2020 because COVID-19 damaged the economydependent on tourism, weakening both external and domestic demand. In 2021, a partial recovery of tourism and investment is forecasted, ”says the European Commission document.
Brussels is optimistic about economic recovery across the region and expects strong growth in all countries.
“The Serbian economy is projected to recover strongly in 2021, surpassing pre-crisis levels, mainly driven by investment and private consumption,” the country's forecast says.
Brussels also raised its forecast for Slovenia's economic growth for this year. After last year's GDP contraction of 5,5 percent, it is projected to grow by 4,9 percent this year and 2022 percent in 5,1, which will return growth to pre-crisis levels. According to the commission, growth will be primarily driven by domestic consumption.
The European Commission has slightly lowered the estimate for the growth of the Croatian economy for this year to 5 percent, but also significantly increased the estimate for next year to 6,1 percent, when Croatia's GDP surpasses the pre-crisis level caused by the coronavirus pandemic and will be among the fastest growing in the EU.
This year, Macedonia's economy will grow by 3,7%, and a similar rate of GDP growth (3,8%) is projected for next year.
The European Commission predicts that after a "shock of historic proportions" caused by the COVID-19 pandemic, the EU economy will grow by 4,2 percent in 2021 or 4,4 percent in 2022. For the eurozone countries, growth is projected at 4,3 and 4,4 percent over the next two years, respectively.
“The European economy will show strong growth this year and next, higher than expected. This will be facilitated by accelerated vaccination, which in the second half of 2021 will lead to a softening of restrictive measures, as well as the use of European packages for economic recovery ", - said the European Commissioner in Economics Paolo Gentiloni.
