Euro Area
Growth picked up in 2015, as domestic demand
strengthened and exports accelerated, partly due to
the lagged effect of a euro depreciation (Figure
1.4). For the year as a whole, Euro Area growth is
estimated at 1.5 percent, in line with previous
expectations, with activity firming in Spain,
somewhat disappointing in Germany, and still
lagging (albeit gradually recovering) in France and
Italy. Low oil prices and favorable financing
conditions are supporting consumer spending and
investment. In the absence of further escalation,
security concerns following the terrorist attacks in
Paris are not expected to have lasting effects on
confidence and activity.