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Modest Eurozone Growth Predicted For 2010

By DailyForex.com

In view of the cataclysmic nature of the global recession that we have just experienced, growth predictions for the 16 member Eurozone group of 1.1% for 2010 should be greeted with pleasure; but it is hardly a stellar performance.

Last year saw economic growth within the group contract by 4%; the worst performance since the group was formed in 1999 with the launch of the Euro. The group is currently being led by Jean-Claude Juncker, the PM of Luxembourg.

He indicated that the group would not be disclosing the measures being put in place to help Greece in its battle with debt which has put pressure on both the value of the Euro and stock values.

However, he was quoted as saying that “Growth is on the path of consolidation but growth in 2010 will be fragile, moderate."  Evidence for the fragility of the recovery was provided by the group’s largest economy, Germany, which recently reported that their economy was flat in Q4 2009.

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