Euro area may be stuck in persistent stagnation: OECDNovember 25, 2014 - 16:14 AMT PanARMENIAN.Net - The euro area may be stuck in persistent stagnation, the Organization for Economic Cooperation and Development has said, according to BBC News. Insufficient policy stimulus could be undermining potential growth, and risks deflation in the area, the market economy group said. Meanwhile, Japan will grow less than previously expected over the next two years, it said. The U.S. and the UK are expected to grow more strongly in comparison, it added. The OECD's report said: "The euro area as a whole, and in particular the vulnerable countries, seems to be most likely to be affected by persistent stagnation tendencies." Its inflation forecasts of 0.6% for the euro area next year and 1.0% for 2016 are slightly more pessimistic than the EU's own forecasts, and far from the European Central Bank's target of just below 2%. The GDP of the euro area is still below its pre-crisis peak, compared with the US and UK, which have surpassed theirs, the OECD said. "The crisis-related hit to potential output has been significant" in the euro area, and the unemployment rate is high, it added. Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Armenia-Qatar ties discussed in Doha The Secretary of Armenia’s Security Council met with the Deputy Secretary General of the National Security Council of Qatar. ARARAT special evening dedicated to Aznavour's 100th Anniv. On May 20 ARARAT legendary Armenian brandy, celebrated the centennial of Maestro Charles Aznavour with a special event. Surveying works underway in Armenia’s Kirants Surveying works are underway in the Armenian village of Kirants in the northern Tavush province. Armenia calls for prohibiting threats of attacks on nuclear facilities Armenia has raised the need for a treaty prohibiting attacks on nuclear facilities devoted to peaceful purposes. |