Growth rates for the EU and the euro area beat expectations in 2017 to reach a 10-year high at 2.4%. Moreover, according to the spring 2018 economic forecast released on 3 May, growth is set to remain strong in 2018 and ease only slightly in 2019, with growth of 2.3% and 2.0% respectively in both the EU and the euro area. Private consumption remains strong, while exports and investment have increased. Unemployment continues to fall and is now around pre-crisis levels. Robust growth is facilitating a further reduction in government deficit and debt levels. The aggregate deficit for the euro area is now less than 1% of GDP and is forecast to fall under 3% in all euro area Member States this year. Inflation is expected to rise slowly, as underlying pressures such as tighter labour markets and faster wage growth strengthen. Despite continuing growth, the risks to the forecast have risen and are now tilted to the downside. These risks include financial market volatility, the risk of overheating and the possibility that US interest rates rise faster than currently assumed due to the pro-cyclical fiscal stimulus in the US, and an escalation in trade protectionism.