Wikinews

European Commission warns Eurozone economy to shrink further

This is the stable version, checked on 18 December 2024. Template changes await review.

Saturday, February 23, 2013

Listen to this article
noicon
Audio file created from text revision dated 2013-02-24 and may not reflect subsequent edits to this report.
Related articles
Location of European Union
Collaborate!
A map of the Eurozone as of 2013.
Image: Glentamara.

The European Commission has warned that the Eurozone economy will remain in recession for longer than expected and will not return to growth until 2014, reversing its previous forecast. In its winter forecast, the European Commission stated the economy of the Eurozone, which consists of 17 countries, is projected to shrink by 0.3% this year. This comes after a 0.6% contraction last year and marks a reversal from the committee's previous prediction of 0.1% growth in 2013.

Unemployment in the Eurozone is set to reach 12.2% in 2013, an increase from the 2012 level of 11.4%. Olli Rehn, the European Commissioner for Economic and Monetary Affairs, said that "decisive policy action undertaken recently is paving the way for a return to recovery". He went on to say: "We must stay the course of reform and avoid any loss of momentum, which could undermine the turnaround in confidence that is underway, delaying the needed upswing in growth and job creation."

The International Monetary Fund stated in January they expected the group of countries to experience a "mild recession" throughout 2013. The extended recession will see millions of people lose their jobs, the European Commision said, with the level of people unemployed across the region expected to continue to rise. The rise in unemployment could reach over 20 million across the Eurozone as the recession persists.


Sources

 

Share this:           


 

This page is archived, and is no longer publicly editable.

Articles presented on Wikinews reflect the specific time at which they were written and published, and do not attempt to encompass events or knowledge which occur or become known after their publication.

Got a correction? Add the template {{editprotected}} to the talk page along with your corrections, and it will be brought to the attention of the administrators.

Please note that due to our archival policy, we will not alter or update the content of articles that are archived, but will only accept requests to make grammatical and formatting corrections.

Note that some listed sources or external links may no longer be available online due to age.

The text of this article is licensed under the terms of the Creative Commons Attribution 2.5 License

  This page is archived, and is no longer publicly editable.
Articles presented on Wikinews reflect the specific time at which they were written and published, and do not attempt to encompass events or knowledge which occur or become known after their publication.

Got a correction? Add the template {{editprotected}} to the talk page along with your corrections, and it will be brought to the attention of the administrators.

Please note that due to our archival policy, we will not alter or update the content of articles that are archived, but will only accept requests to make grammatical and formatting corrections.

Note that some listed sources or external links may no longer be available online due to age.

The text of this article is licensed under the terms of the Creative Commons Attribution 2.5 License
Retrieved from "https://en.wikinews.org/w/index.php?title=European_Commission_warns_Eurozone_economy_to_shrink_further&oldid=4817347"