Austria and Finland warn of Iran war’s impact following ECB hike
Higher energy prices are slowing growth and raising inflation, central banks say
The Austrian and Finnish central banks have spoken up today (June 12) about the economic fallout from the war in the Middle East.
The National Bank of Austria (OeNB) published a full forecast for 2026–28, just a day after the European Central Bank hiked rates. It expected the country’s GDP growth to be “subdued” this year at 0.6%, before increasing to 1.1% and 1.2% over the following two years. Annual inflation was projected to be 3.2% this year, before declining to 2.1% by 2028.
“The war in the
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