Recession in eurozone countries hurting global economy, OECD Says
2012-09-06 12:46:11
Recession in key euro area economies is having an impact worldwide and is dampening global economic prospects, the Organization for Economic Co-operation Development (OECD) said in its latest report.
"Our forecast shows that the economic outlook has weakened significantly since last spring," OECD Chief Economist Pier Carlo Padoan said while presenting the latest Interim Economic Assessment on Thursday.
The continuing euro area crisis is dampening global confidence, weakening trade and employment and slowing economic growth for OECD and non-OECD countries alike, the report warned.
The OECD projects that the euro area's three largest economies, Germany, France and Italy, will shrink at an annualised rate of 1 percent on average during the third quarter and at 0.7 percent in the fourth quarter.