Accessibility links

Breaking News

ECB Cuts 2012 Growth Forecast

The European Central Bank (ECB) has cut its forecast for eurozone growth next year, but raised its projection for inflation in the 17 countries that share the euro.

ECB President Mario Draghi said real gross domestic product growth in the eurozone was now projected at around 0.3 percent this year, down from 0.5.

The bank also cut its forecast for 2013, with growth expected to pick up by no more than 1.1 percent, instead of 1.3 percent as originally predicted.

At the same time, inflation in the euro area was anticipated to reach 2.4 percent in 2012, instead of the previously forecast annual inflation of 2.0 percent.

Inflation was expected to slow to 1.6 percent in 2013.

With AFP and Reuters reporting