ECB raises GDP and inflation forecasts

FRANKFURT, Dec 14 (Reuters) - The European Central Bank raised its growth and inflation forecasts on Thursday as the euro zone's recovery becomes increasingly broad-based but saw inflation falling short of target into 2020 as high unemployment keeps a lid on wages. The ECB, which targets inflation at just below 2 percent, sees price growth slowly accelerating over the coming years and hitting 1.7 percent in 2020, ECB President Mario Draghi told a news conference. Growth next year was seen at 2.3 percent versus an earlier 1.8 percent forecast. The following are the ECB staff's new projections for inflation and GDP growth, with September forecasts in brackets. For 2020, the ECB provided projections for the first time. The ECB updates projections once a quarter.

2017 2018 2019 2020 GDP growth 2.4 (2.2) 2.3 (1.8) 1.9 (1.7) 1.7 Inflation 1.5 (1.5) 1.4 (1.2) 1.5 (1.5) 1.7

(Reporting by Balazs Koranyi; Editing by Catherine Evans)