Eurozone economy to shrink in 2012 dragged down by Greece, Spain, Italy …

The eurozone economy is forecast to shrink this year as its debt crisis continues to bite.

The European Commission’s spring forecast confirmed its prediction of a 0.3% contraction in 2012 in the economies of the 17 countries that use the euro.

It predicted growth of 1.0% for the eurozone in 2013.

European Commissioner for Economic and Monetary Affairs Olli Rehn said “a recovery is in sight” for the eurozone.

But he added: “The economic situation remains fragile, with still large disparities across member states.”

For all 27 countries in the EU, the Commission is predicting zero growth for 2012, with 1.3% growth next year…

Source:

Read More @ BBC News – Eurozone economy to shrink by 0.3%, EU Commission says.

Euro Economy to Shrink as Spain, Italy Re-Enter Recession 

The euro-region economy will return to growth in 2013, with only Spain among its 17 members remaining in recession, according to the European Commission.

Gross domestic product will rise 1 percent in 2013 after declining 0.3 percent in 2012, the Brussels-based commission said today. While Greece will have the deepest slump, with GDP declining 4.7 percent, its economy may stay unchanged in 2013. Italy and Portugal will return to growth next year, while Spain’s economy may shrink 1.8 percent this year and 0.3 percent in 2013…

Source:

Read More @ Euro Economy to Shrink as Spain, Italy Re-Enter Recession – Bloomberg.