The virus is under control for now and the low number of hospitalizations is allowing European governments to gradually lift social-distancing restrictions. We expect eurozone economic growth of 4.4% this year and 4.5% in 2022, after a 6.7% contraction in 2020. We revised up our March forecast slightly, since the GDP decline in first-quarter 2021 was milder and use of Next Generation EU funds greater than expected. External demand remains dynamic as the eurozone's main trading partners, like the U.S. and China, recover from the pandemic and vaccination rollouts continue to pave the way for a sustainable reopening of the economy.