Economy in Focus #12 - 2024 year-in-review: The tides are turning

In the 12th edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, examines the key trends that have defined Europe’s macroeconomic landscape in 2024. The report was published in December 2024.

Download the full report

Central banks walk a tightrope

In 2024, central banks began reversing recent aggressive rate hikes introduced to combat soaring inflation. However, the process has been gradual, constrained by persistent strong wage growth across Europe. The cost-of-living crisis and long-term demographic shifts drove salaries higher, creating a fine line for policymakers to balance between reducing rates to stimulate growth and avoiding a resurgence of inflation.

Uneven economic recovery

Economic activity in Europe showed signs of recovery, but the progress was far from uniform. Southern European nations, including Spain and Greece, , emerged as growth leaders, while the usual economic powerhouse - Germany - and Sweden lagged behind.Political instability in key economies, combined with external pressures like potential trade tensions with US and weak demand from China, exacerbated the challenges for manufacturing and business confidence.

AI investments shift from hype to reality

One of the most striking shifts in 2024 was the cooling of the fervour surrounding artificial intelligence (AI). While AI continued to demonstrate transformative potential, investors and businesses began adopting a more measured approach. Generative AI, once heralded as a game-changer, faced increasing scrutiny over its profitability and real-world applications.

Anna Zabrodzka-Averianov, Senior Economist at Intrum

Comment from Intrum's Senior Economist:

"2024 was a year of measured progress. Lower rates supported recovery, but wage pressures remained a concern for policymakers navigating this transition. The challenges of this year underscore the importance of resilience, adaptability, and forward-thinking strategies as we step into 2025."

Reflecting on 2024: A year of cautious progress

Download the Economy in Focus #12

Download the full report

Previous editions of Economy in Focus:

Economy in Focus #11 - The state of corporate and household credit in the EU

In the latest edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, delivers key insights into the pressing issues surrounding corporate and household indebtedness in the EU.

Economy in Focus #10 - AI’s impact on macroeconomy

In the 10th edition of Economy in Focus, discover how Generative AI is revolutionising productivity and reshaping global economic landscapes. This in-depth report explores the transformative potential of AI technologies, their impact on markets, and the challenges they bring. Published in June 2024.

Economy in Focus #9 - Household savings and investments in a new age

In the 9th edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, explores how European household savings and investment patterns are shifting in a post-pandemic world. This report was published in April 2024.

Economy in Focus # 8 - 2024 outlook: What to expect and prepare for

In the 8th edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, offers a detailed outlook on the economic challenges and opportunities expected in 2024. This report, published in January 2024, examines inflation, credit tightening, and recovery scenarios.

Economy in Focus #7 - 2023 in Review – An economic potpourri

In the 7th edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, reviews the economic challenges and developments of 2023. The report highlights inflation, property market declines, and regulatory changes. Published in December 2023.

Economy in Focus #6 - NPLs: A Decade-Long European Headache

In the 6th edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, delves into the decade-long challenge of non-performing loans (NPLs) across Europe. This report explores the impacts of NPLs on the European economy and the strategies for addressing them. Published in September 2023.

Economy in Focus #5 – Four key challenges that European companies face

In the 5th edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, examines the four key challenges that European companies face, including revenue disruptions, inflation fears, wage-setting struggles, and cost-cutting measures. Published in June 2023.

Economy in Focus #4 – Employment remains strong in Europe

In the 4th edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, discusses Europe’s resilient labour market amidst economic challenges. The report highlights stable employment, falling real wages, and rising consumer confidence. Published in April 2023.

Economy in Focus #3 – Downturn on the housing market

In the 3rd edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, provides insights into the downturn in Europe’s housing market, with a particular focus on the impact of rising interest rates on household debt. Published in February 2023.

Economy in Focus #2 – Generation X worst off

In the 2nd edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, explores the record-low consumer confidence in Europe, the impact of rising inflation, and how Generation X is most affected. Published in December 2022.

Economy in Focus #1 – Inflation reaches highest level in decades

In the 1st edition of Economy in Focus, Intrum’s Senior Economist, Anna Zabrodzka-Averianov, discusses the record-high inflation levels across Europe, the sharp rise in energy prices, and the impact on consumer confidence. Published in September 2022.

Insight hub | Most read insight articles

Explore payment trends and economic insights