FRANKFURT (Reuters) - The euro zone economy is enjoying robust growth and may even outperform expectations in the near term, the European Central Bank said in a regular economic bulletin on Thursday.
The labor market continues to exhibit “strong dynamics”, private consumption is rising, exports are growing and both construction and non-construction investment are picking up, all pointing to robust economic expansion ahead, the ECB said.
“Overall, the latest economic indicators point to strong growth momentum in the euro area, which is projected to expand in the near term at a somewhat faster pace than previously expected,” the ECB said in a bulletin that is largely consistent with the Governing Council’s assessment at the March policy meeting.
“Recent developments support the notion of a gradual upward trend in wage growth and the notion of a gradual build-up in domestic cost pressures,” the ECB added.
Reporting by Balazs Koranyi; Editing by Gareth Jones