Brussels, 7 July 2021 (dpa/MIA) – The European Commission expects a return to pre-pandemic economic output levels by the end of the year, thanks largely to strong private consumption and investment. The European Union and the eurozone economy are set to grow by 4.8 per cent this year and 4.5 per cent in 2022, the EU executive said in a press release on its latest economic forecast on Wednesday. This is much faster than foreseen in its last prediction. Real gross domestic product (GDP) is therefore projected to recover to pre-crisis levels in the final three months of the year, the press release stated – also quicker than previously anticipated. The improved forecast is due to three factors, the commission said: stronger-than-expected economic activity in the first months of the year, effective coronavirus containment plus vaccinations allowing a reopening of the economy, and tourism within the European Union. But virus-related risks remain, the commission stressed, underlining the need to redouble inoculation efforts. “The spread of the Delta variant is a stark reminder that we have not yet emerged from the shadow of the pandemic,” European Economy Commissioner Paolo Gentiloni said in the press release. However, the strong headline GDP figures mask significant divergence among the member 27 member states. In addition, the rate of inflation is expected to average 1.9 per cent for the 19 countries that use the euro in 2021, and 2.2 per cent across the entire 27-member bloc. Next year, this rate should be 1.4 per cent and 1.6 per cent respectively.