Following the excellent performance of the European economy in 2006 (especially thanks to the growth of internal demand and the creation of 3 million new jobs), 2007 is also likely to be a year of sustained economic growth. According to the latest projections of the European Commission, in fact, growth is estimated at 2.4% for the Eurozone and 2.7% for the Eu-27: despite record levels of energy costs, the Commission also predicts a lowering of the annualised inflation rate to 1.8% in the Eurozone and 2% in the EU-27. The Commissioner for Economic and Monetary Affairs Joaquin Almunia, commenting on the projections, said that “the positive trend is not only linked to favourable cyclical conditions, but also reflects the robustness of the European economy”. He also said that “only an improvement of public finances and structural reforms can guarantee stronger and more sustainable economic growth”. Almunia however expressed some concerns about “global imbalances” that risk jeopardizing the good economic trend of the whole European continent.
