September 13, 2010 9:19 PM

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European Commission raises forecast for growth in EU this year

The European Commission has raised its forecast for growth in the EU this year, after particularly strong growth in the second quarter. The commission now expects growth in 2010 of 1.8% in the EU, up from an earlier estimate of 1%, and of 1.7% in the 16-member eurozone, up from 0.9%. Its projection for the UK is now for expansion of 1.7%, up from 1.2%. Meanwhile the head of the International Monetary Fund warned the world labour market was in dire straits. Managing director of the IMF said the recession had left a wasteland of joblessness. He said, we must acknowledge that the crisis will not be over until unemployment declines significantly.

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