Eurozone needs more stimulus to see a revival

first_img Show Comments ▼ whatsapp Chris PapadopoullosChris Papadopoullos was City A.M.’s economics reporter until February 2016. He is an economist at OMFIF. whatsapp EUROPEAN officials need to boost their stimulus efforts to revive the Eurozone economy, an economic in­ter­national organisation has said.The Organisation for Economic Co-operation and Development (OECD) warned that the currency union suffered from high public and private debt, tight credit conditions, high unemployment and falling inflation.“The ECB [European Central Bank] should further expand its monetary support, including through asset purchases,” the report said. The ECB has been purchasing private sector bonds. However, the market for them is small and the size of the programme has been disappointing compared with programmes seen in the US, UK and Japan.ECB president Mario Draghi caused European bond yields to dive after signalling it was more likely the central bank would start buying bonds. The OECD also said countries should take all available room under EU fiscal rules to avoid fiscal contraction. Germany, the Eurozone’s largest economy, had its GDP forecast sharply downgraded to 1.1 per cent since the last report in May which forecast 2.1 per cent growth.The economic outlook for the UK and US was much more positive, with the robust recoveries in both nations expected to continue.OECD GDP FORECASTS■ The Eurozone is expected to grow by 1.1 per cent in 2015 and 1.7 per cent in 2016.■ The UK’s recovery is forecast to carry on with 2.7 per cent growth in 2015.■ The US is expected to overtake the UK as the G7’s fastest growing economy with a forecast of 3.1 per cent 2015 GDP growth.■ The figures compare with OECD averages of 2.3 per cent in 2015 and 2.6 per cent in 2016. by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeTele Health DaveRemember Pierce Brosnan’s Wife? Take A Deep Breath Before You See What She Looks Like NowTele Health DaveMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryMaternity WeekA Letter From The Devil Written By A Possessed Nun In 1676 Has Been TranslatedMaternity WeekThe No Cost Solar ProgramGet Paid To Install Solar + Tesla Battery For No Cost At Install and Save Thousands.The No Cost Solar ProgramMoneyPailShe Was A Star, Now She Works In ScottsdaleMoneyPailMedical MattersThis Picture Shows Who Prince Harry’s Father Really IsMedical MattersFungus EliminatorIf You Have Toenail Fungus Try This TonightFungus EliminatorThe Chef PickElisabeth Shue, 57, Sends Fans Wild As She Flaunts Age-Defying FigureThe Chef PickUltimate Pet Nutrition Nutra Thrive SupplementIf Your Dog Eats Grass (Do This Every Day)Ultimate Pet Nutrition Nutra Thrive Supplement More From Our Partners Man on bail for murder arrested after pet tiger escapes Houston homethegrio.comRussell Wilson, AOC among many voicing support for Naomi Osakacbsnews.comPorsha Williams engaged to ex-husband of ‘RHOA’ co-star Falynn Guobadiathegrio.comBrave 7-Year-old Boy Swims an Hour to Rescue His Dad and Little Sistergoodnewsnetwork.orgA ProPublica investigation has caused outrage in the U.S. this weekvaluewalk.comPolice Capture Elusive Tiger Poacher After 20 Years of Pursuing the Huntergoodnewsnetwork.orgFans call out hypocrisy as Tebow returns to NFL while Kaepernick is still outthegrio.comNative American Tribe Gets Back Sacred Island Taken 160 Years Agogoodnewsnetwork.orgAstounding Fossil Discovery in California After Man Looks Closelygoodnewsnetwork.orgcenter_img Tags: NULL Tuesday 25 November 2014 8:48 pm Share Eurozone needs more stimulus to see a revival last_img

Leave a Reply

Your email address will not be published. Required fields are marked *