For how long will low oil prices boost spending growth?

The declines in oil prices since last summer might add as much as 1 percentage point to euro-zone consumer spending growth this year. However, unless oil prices fall further, which we do not expect, this boost will fade in 2016. This is a key reason why, contrary to the consensus forecast, we expect GDP growth to slow from 1.5% this year to 1.0% in 2016.


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