News / Europe

Statistics Show Stuttering 2013 European Recovery

Olli Rehn addressing media at the European Commission headquarters in Brussels, Feb. 22, 2013.
Olli Rehn addressing media at the European Commission headquarters in Brussels, Feb. 22, 2013.
Lisa Bryant
The latest Brussels economic forecast indicates Europe is not yet out of its economic troubles.
 
The European Commission delivered statistics on Friday that predict growth for the 27-member European Union at only 0.1 percent — down from its previous forecast of 0.4 percent — but that the outlook for the 17-member currency union, the eurozone, has been revised downwards. The EU's executive arm says the currency union will contract by 0.3 percent in 2013, compared to its earlier estimate of a small, 0.1 percent growth.
 
"The current situation can be summarized like this: We have disappointing hard data from the end of last year, some more encouraging softer data from the recent past, and growing investor confidence in the future," said Olli Rehn, European Commissioner for Economic and Monetary Affairs and the Euro, and the commission's vice president.

"The decisive policy action undertaken recently is paving the road to recovery," he added, explaining that Europe's economic reforms are working. "We must stay the course of reform and avoid any loss of momentum which could undermine the turnaround in confidence that is now underway, delaying the needed upswing in growth and job creation."
 
While not surprising, some of the more disappointing data came from France. Europe's second largest economy is expected to grow only 0.1 this year, while unemployment is forecast to reach 10.7 percent.
 
As expected, the commission predicted France's Socialist government will miss the EU's 3 percent deficit target, reaching an expected 3.7 percent this year and 3.9 percent in 2014.
 
French Prime Minister Jean-Marc Ayrault has rejected more austerity measures. Either way, the government's policies have sparked criticism from both conservatives and the far left.
 
Far left French politician Jean-Luc Melenchon told French Radio that the government had fallen into the quicksands of European austerity — just like struggling economies Spain and Portugal.
 
Europe's largest economy, Germany, is expected to grow 0.5 percent this year and the British economy by 1 percent. But the economies of Spain and Italy are expected to contract. And eurozone unemployment will likely climb to 12.2 percent in 2013, before falling slightly next year.

You May Like

Disappointing Report on China's Economy Shakes Markets

In London and New York shares lost 3 percent, while Paris and Germany dropped around 2.4 percent More

DRC Tries Mega-Farms to Feed Population

Park at Boukanga Lonzo currently has 5,000 hectares under cultivation, crops stretching as far as eye can see, and is start of ambitious large-scale agriculture plan More

Video War, Drought Threaten Iraq's Marshlands

Areas are spawning ground for Gulf fisheries, a resting place for migrating wildfowl, source of livelihood for fishermen and herders who have called the marshes home for generations More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Nobel Prize Winner Malala Talks to VOAi
X
August 31, 2015 2:17 AM
Nobel Peace Prize winner Malala Yousafzai met with VOA's Deewa service in Washington Sunday to talk about women’s rights and unveil a trailer for her new documentary. VOA's Katherine Gypson has more.
Video

Video Nobel Prize Winner Malala Talks to VOA

Nobel Peace Prize winner Malala Yousafzai met with VOA's Deewa service in Washington Sunday to talk about women’s rights and unveil a trailer for her new documentary. VOA's Katherine Gypson has more.
Video

Video War, Drought Threaten Iraq's Marshlands

Iraq's southern wetlands are in crisis. These areas are the spawning ground for Gulf fisheries, a resting place for migrating wildfowl, and source of livelihood for fishermen and herders. Faith Lapidus has more.
Video

Video Colombians Flee Venezuela as Border Crisis Escalates

Hundreds of Colombians have fled Venezuela since last week, amid an escalating border crisis between the two countries. Last week, Venezuelan President Nicolas Maduro ordered the closure of a key border crossing after smugglers injured three Venezuelan soldiers and a civilian. The president also ordered the deportation of Colombians who are in Venezuela illegally. Zlatica Hoke reports.
Video

Video Rebuilding New Orleans' Music Scene

Ten years after Hurricane Katrina inundated New Orleans, threatening to wash away its vibrant musical heritage along with its neighborhoods, the beat goes on. As Bronwyn Benito and Faith Lapidus report, a Musicians' Village is preserving the city's unique sound.
Video

Video In Russia, Auto Industry in Tailspin

Industry insiders say country relies too heavily on imports as inflation cuts too many consumers out of the market. Daniel Schearf has more from Moscow.
Video

Video Scientist Calls Use of Fetal Tissue in Medical Research Essential

An anti-abortion group responsible for secret recordings of workers at a women's health care organization claims the workers shown are offering baby parts for sale, a charge the organization strongly denies. While the selling of fetal tissue is against the law in the United States, abortion and the use of donated fetal tissue for medical research are both legal. VOA’s Julie Taboh reports.
Video

Video Next to Iran, Climate at Forefront of Obama Agenda

President Barack Obama this week announced new initiatives aimed at making it easier for Americans to access renewable energy sources such as solar and wind. Obama is not slowing down when it comes to pushing through climate change measures, an issue he says is the greatest threat to the country’s national security. VOA correspondent Aru Pande has more from the White House.
Video

Video Arctic Draws International Competition for Oil

A new geopolitical “Great Game” is underway in earth’s northernmost region, the Arctic, where Russia has claimed a large area for resource development and President Barack Obama recently approved Shell Oil Company’s test-drilling project in an area under U.S. control. Greg Flakus reports.
Video

Video Philippine Maritime Police: Chinese Fishermen a Threat to Country’s Security

China and the Philippines both claim maritime rights in the South China Sea.  That includes the right to fish in those waters. Jason Strother reports on how the Philippines is catching Chinese nationals it says are illegal poachers. He has the story from Palawan province.
Video

Video China's Spratly Island Building Said to Light Up the Night 'Like A City'

Southeast Asian countries claim China has illegally seized territory in the Spratly islands. It is especially a concern for a Philippine mayor who says Beijing is occupying parts of his municipality. Jason Strother reports from the capital of Palawan province, Puerto Princesa.
Video

Video Ages-old Ice Reveals Secrets of Climate Change

Ice caps don't just exist at the world's poles. There are also tropical ice caps, and the largest sits atop the Peruvian Andes - but it is melting, quickly, and may be gone within the next 20 years. George Putic reports scientists are now rushing to take samples to get at the valuable information about climate change locked in the ice.

VOA Blogs