GDP growth in 2022 is revised upwards (4.4%) and the outlook deteriorates in 2023 (1.0%). The economy could remain stagnant in the coming quarters, or register moderate declines, due to heightened uncertainty, higher inflation expectations and interest rates.
Spain's GDP will grow by 4.1% in 2022 (in line with what was forecast three months ago), but private consumption is revised downwards and investment and exports, both goods and tourism services, are revised upwards. On the other hand, growth for 2023 will be lower due to the slower progress in European demand.
Madrid's GDP grew by 5,0% in 2021. But the war in Ukraine and sanctions reduce growth expectations. Thus, Madrid GDP is expected to increase by 4,3% in 2022 and 2,6 in 2023%. By the end of 2023, GDP could recover the level of 2019.