The United Nations has said that Indian economy will grow at a slower pace of 6.7 per cent in 2012 instead of a previous 7.7 per cent forecast. In its World Economic Situation and Prospects mid-year update, the UNwarned that the euro area debt crisis will remain the biggest threat to world economy this year.It said, the global economic situation continues to be challenging and global growth will likely remain tepid in 2012 following a marked slowdown in 2011.The report said, the global economy is projected to grow by 2.5 per cent in 2012 and 3.1 per cent in 2013, following a growth of 2.7 per cent in 2011, a slight downward revision from previous forecasts. It said, an escalation of the euro area debt crisis could result in severe turmoil in financial markets and a sharp rise in global risk aversion, leading to a further weakening of global growth.The UN report said, most regions of the world will also be expanding at a pace below potential. Economic growth in South Asia is projected to moderate to 5.6 per cent in 2012, down from 6.1 per cent in 2011 as the region continues to face significant regional and global headwinds.Weak demand in developed countries and a slowing Chinese economy are likely to weigh on economic growth in East Asia.Average regional growth is projected to slow from 7.1 per cent in 2011 to 6.5 per cent in 2012. Growth in China is forecast to slow from 9.2 per cent in 2011 to 8.3 per cent in 2012.