Russia’s war worsens the outlook: The Commission’s Summer Interim Forecast

The shocks unleashed by Russia’s war on Ukraine are hitting the EU economy hard, setting it on a path of lower growth and higher inflation than expected in the previous European Commission forecast. Further upward pressures on energy prices, and even an outright cut in gas supply, represent concrete risks to the forecast. Against this backdrop, this column argues that EU Member States should implement the right policies to support vulnerable households while investing in measures to frontload the energy transition.