ING Warns Recurring Heatwaves Pose Structural Risk to Eurozone Growth
ING's Global Head of Macro Carsten Brzeski warns that recurring European heatwaves are becoming a structural drag on Eurozone growth, citing research showing measurable output losses and higher food inflation.
Carsten Brzeski, ING's Global Head of Macro, has issued a warning that repeated heatwaves in Europe are evolving from a temporary weather phenomenon into a structural risk for the Eurozone economy.
He references academic studies and European Central Bank research that document tangible declines in economic output and a rise in food inflation linked to extreme heat events. These trends, if sustained, could weigh on long-term growth prospects for the region.
The assessment adds a fresh dimension to the macroeconomic outlook for the Eurozone, which is already grappling with subdued growth and lingering inflationary pressures.
Source: FXStreet Forex News