Latest news with #RegionalEconomicProspects
See - Sada Elbalad
15-05-2025
- Business
- See - Sada Elbalad
Al-Mashat: EBRD Forecast Reflects Confidence in Egypt's Reform Agenda
H-Tayea The European Bank for Reconstruction and Development (EBRD) has projected continued positive growth for Egypt's economy, according to its latest Regional Economic Prospects report released during the Bank's annual meetings held in the United Kingdom. The forecast reflects optimism regarding Egypt's economic outlook, driven by recovery in non-oil sectors and the ongoing implementation of structural reforms. Egypt's Minister of Planning, Economic Development, and International Cooperation, Dr. Rania Al-Mashat, who also serves as Egypt's Governor at the EBRD, participated in the meetings and welcomed the report's findings. The EBRD expects Egypt's economy to grow to 3.8% by the end of FY 2024/25, and to 4.4% in FY 2025/26, with growth supported by improved performance in manufacturing, transportation, and trade. On a calendar-year basis, growth is projected to reach 4% in 2025 and 4.5% in 2026. The report noted that Egypt saw year-on-year growth of 3.9% in the first half of FY 2024/25, a notable increase from 2.4% in the same period last year, as foreign exchange shortages eased after March 2024. While the oil and gas sector showed a decline, the government is actively addressing challenges by settling arrears to international energy firms. The EBRD emphasized that Egypt's economic outlook remains closely tied to the pace and consistency of structural reforms—particularly those reducing the state's footprint in the economy and lowering public debt and debt service costs. However, it also cautioned that global uncertainties, including shifting trade policies, still pose external risks. Dr. Al-Mashat commented that the positive projections validate Egypt's reform trajectory. She highlighted that Egypt's GDP growth rose from 3.5% to 4.3% between the first and second quarters of the current fiscal year, with expectations to reach 4% by the end of the year. She reaffirmed the government's commitment to macroeconomic stability, fiscal discipline, and expanding the National Structural Reform Program, which focuses on enhancing the investment climate and enabling greater private sector participation—particularly in export-oriented sectors. The report also showed signs of macroeconomic stabilization, with inflation falling to 12.8% in February 2025, its lowest level since March 2022. The Central Bank's monetary tightening is expected to further ease inflationary pressures in the coming period. read more Gold prices rise, 21 Karat at EGP 3685 NATO's Role in Israeli-Palestinian Conflict US Expresses 'Strong Opposition' to New Turkish Military Operation in Syria Shoukry Meets Director-General of FAO Lavrov: confrontation bet. nuclear powers must be avoided News Iran Summons French Ambassador over Foreign Minister Remarks News Aboul Gheit Condemns Israeli Escalation in West Bank News Greek PM: Athens Plays Key Role in Improving Energy Security in Region News One Person Injured in Explosion at Ukrainian Embassy in Madrid News Egypt confirms denial of airspace access to US B-52 bombers Lifestyle Pistachio and Raspberry Cheesecake Domes Recipe News Ayat Khaddoura's Final Video Captures Bombardment of Beit Lahia News Australia Fines Telegram $600,000 Over Terrorism, Child Abuse Content Arts & Culture Nicole Kidman and Keith Urban's $4.7M LA Home Burglarized Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Sports Neymar Announced for Brazil's Preliminary List for 2026 FIFA World Cup Qualifiers News Prime Minister Moustafa Madbouly Inaugurates Two Indian Companies Arts & Culture New Archaeological Discovery from 26th Dynasty Uncovered in Karnak Temple Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War
Budapest Times
14-05-2025
- Business
- Budapest Times
EBRD forecasts Hungary's GDP will grow by 1.5% in 2025 and 2.7% in 2026
The European Bank for Reconstruction and Development (EBRD) has forecasted Hungary's GDP growth at 1.5pc in 2025 and 2.7pc in 2026. In its latest Regional Economic Prospects report released on Tuesday, the EBRD lowered the forecast for 2025 by 0.5 percentage points from the previous report published in February. The EBRD said Hungary's economy was likely to be 'heavily affected' by additional import tariffs imposed by the United States, noting that the country's exports to Germany accounted for around 18pc of GDP. Increased uncertainty surrounding the outlook in the automotive and battery production sectors could have a 'paralysing effect' on investment decisions, it added. The EBRD said the previously anticipated beneficial impact of the launch in production in 2025 at local plants of China's BYD and CATL and Germany's BMW would likely be delayed until at least 2026, adding that private consumption was expected to drive growth in 2025 and 2026. The EBRD said a government-mandated cap on markups on a range of food products was expected to reduce food price inflation by 2pp.
The Star
13-05-2025
- Business
- The Star
EBRD downgrades Baltic states growth forecasts amid trade uncertainty
RIGA, May 13 (Xinhua) -- The European Bank for Reconstruction and Development (EBRD) has revised downward the growth forecasts for the Baltic states for both this year and next. According to the Regional Economic Prospects report released by the EBRD on Tuesday, Latvia's gross domestic product (GDP) forecast for 2025 has been reduced to 1.8 percent, down from the 2 percent projected by the bank in February. The forecast for 2026 has also been trimmed by 0.1 percentage point, to 2.4 percent. Estonia's economic outlook has also been lowered, with forecasts cut by 0.4 percentage points for this year and 0.6 percentage points for next year. The EBRD now expects Estonia's economy to grow by 1.3 percent in 2025 and 2 percent in 2026. For Lithuania, the EBRD estimates GDP growth of 2.6 percent for both 2025 and 2026. In its February forecast, the bank had projected higher growth -- 2.8 percent in 2025 and 2.7 percent in 2026. The EBRD attributes the downward revisions for the Baltic economies to heightened uncertainty in global trade due to new U.S. tariff policies.
Yahoo
13-05-2025
- Business
- Yahoo
EBRD cuts regional economic outlook as geopolitical tensions linger
The European Bank for Reconstruction and Development (EBRD) slashed its regional economic forecast for this year by 0.2%, compared to its February 2025 outlook, in its latest Regional Economic Prospects report launched on Tuesday. The bank now expects growth in the EBRD regions to be about 3% in 2025, before edging up marginally to 3.4% in 2026. This downbeat forecast is mainly due to the impact of tariff increases and ongoing geopolitical uncertainty on supply chains and trade. Lagging external demand has also had an impact on this outlook. Strong domestic demand, loose fiscal policies and robust nominal wage growth are also boosting inflation in the EBRD regions. Following a drop to 5.3% in September 2024, average inflation rose to 6.1% in February this year. Average debt in the EBRD regions is likely to stay more or less the same, at about 52% of gross domestic product (GDP) over the next four years. This outlook however assumes that governments will announce more stringent fiscal policies, which should also include increased industrial policies, defence and interest payments spending, while some expenditure areas see cuts. Related Are these the best European countries to start a business in? Stocks jump, gold tumbles as US and China trade talks progress US tariffs have the potential to impact global supply chains, especially in key European economies such as Germany. However, trade diversion, especially through countries with relatively lower tariffs could help offset and distribute the impact of higher US tariffs. According to the EBRD, 'the average effective US tariff on imports from the Bank's regions is estimated to surge from 1.8 per cent in 2024 to 10.5 per cent, assuming unchanged composition of exports.' Beata Javorcik, the EBRD's chief economist, said in a press release: 'Although understanding the full macroeconomic effects of the newly announced tariffs will take time, it is already clear that our regions have entered a period of heightened uncertainty and slower growth. 'Reducing trade tensions through constructive dialogue and achieving consensus on trade policy among key stakeholders are crucial, as prolonged uncertainty carries painful economic costs.' The Western Balkans, Baltic states and central Europe are expected to see the largest reductions in growth, according to the EBRD. The Western Balkans' GDP is likely to be 3.2% in 2025, before edging up slightly to 3.4% next year, primarily because of Serbian political turmoil as well as spillover effects from decreased growth in more advanced Western European economies. Serbia, North Macedonia, Bosnia and Herzegovina and Montenegro are likely to be some of the most affected Western Balkans countries this year. Economic growth for central Europe and the Baltic states is likely to be 2.4% this year, and 2.7% in 2026. This is mainly because of the effect of new tariffs and slower external demand, especially from Germany, as well as higher global policy uncertainty. The Slovak Republic, Estonia and Hungary are expected to be the most hit, experiencing the sharpest downward revisions from the EBRD's February 2025 forecasts. Coming to southeastern EU economies, GDP is expected to rise to 2% in 2025, which would be an increase from the 1.6% seen in 2024, but would still be less than earlier forecasts. This rebound is mainly expected to be driven by Bulgarian demand. In 2026, GDP is expected to be 2.4%. This year, Central Asian economic growth is likely to decrease to 5.5%, with a further drop to 5.2% expected for 2026. Declining commodity prices are likely to subdue economic growth for Mongolia and Kazakhstan. Southern and eastern Mediterranean economic growth could be 3.6% this year, before rising slightly to 3.9% in 2026. Turkey's GDP is expected to fall from 3.2% last year to 2.8% this year, mainly because of tighter-than-anticipated monetary policy and slower external and domestic demand. However, economic growth is likely to bounce back to 3.5% in 2026. GDP is likely to be 3.5% in 2025 in eastern Europe and the Caucasus, before surging to 4.3% in 2026, although ongoing damage to Ukrainian energy infrastructure and weaker EU demand is likely to dampen Moldova and Ukraine's outlook.
Ammon
13-05-2025
- Business
- Ammon
EBRD: Jordan's economic growth proves resilient despite wars
Ammon News - The European Bank for Reconstruction and Development (EBRD) said that Jordan's economic growth proved resilient in 2024 despite the wars in Gaza and Lebanon weighing on business and consumer confidence and lower room for public spending due to decreasing revenues. According to the Bank's Regional Economic Prospects report, which reviewed by Ammon, the Bank noted that a quick recovery in tourism receipts in the second half of the year helped support growth, and the government's commitment to fiscal discipline and progress on structural reforms further supported economic resilience and preserved market confidence. In the meantime, unemployment remained high, standing at 21.4 per cent by the end of 2024 while inflation stayed low despite a slight uptick to 2.1 per cent in February 2025. The Central Bank of Jordan maintained its policy rate since September 2024, mirroring the decisions of the Federal Reserve as part of its effort to preserve the currency peg. Foreign exchange reserves amounted to US$21.1 billion, covering around eight months of imports. Regional instability affected the external position, with the current account widening to an average of 5.9 per cent of GDP in 2024. Gross general government debt (including guaranteed debt) reached 115 per cent of GDP in December 2024. In 2025, growth is expected to benefit from a recovery in tourism and the re-opening of the Syrian market to Jordanian businesses, but downside risks from uncertainty around US foreign aid and trade policies weigh on the outlook for investment and growth. On balance, growth is expected to reach 2.2 per cent in 2025 up to 2.4 per cent in 2026, subject to restoration of regional stability.
