OECD cuts UK and Eurozone Growth Forecasts

The OECD has again cut its growth forecasts for the eurozone and called on the European Central Bank to consider doing more to boost growth.

The organisation says the eurozone will shrink by 0.6% this year, widening the gap between it and faster-growing economies such as the US and Japan.

The UK forecast was revised down to 0.8% growth this year and 1.5% in 2014.

Meanwhile, the European Commission has given France two more years to complete its austerity programme.

France fell back into recession in the first three months of the year.

Spain, Poland, Portugal, the Netherlands and Slovenia have also been given more time to complete fiscal tightening.

The move suggests a shift away from a focus on austerity in Europe.

via BBC

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