The prediction is an increase of 0.4 percentage points on the previous forecast three months ago, while it would mean that GDP will exceed 2008 levels within a few months.
Real wages are also expected to grow this year despite standing 6% below 2009 levels, yet they are not expected to make up lost ground until 2018.
Unemployment will average about 6.5%, yet this is expected to fall to 6% from 2015.
CPI inflation is projected to stay close to the 2% target.
