ECB Warns of War-Induced Slump in Eurozone Consumer Spending

The European Central Bank (ECB) has reported that household spending in the eurozone declined significantly in the early stages of the U.S. war on Iran, citing weakened consumer confidence.

According to Reuters, consumer confidence remains below pre-war levels, and annual nominal consumption growth slowed to approximately 2.5 percent in April from 3-4 percent since mid-2024.

The ECB warned that renewed escalation of the conflict could further dampen consumption, highlighting the potential impact on eurozone economies.