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New EU forecast twice as gloomy

A new economic forecast released by the European Commission on Monday (4 May) predicts EU growth will contract by 4 percent this year, a considerable downward revision from its January forecast of minus 2 percent growth.

Average unemployment is set to rise to 9.4 percent this year, while government deficits inside the 27-member union will average 6 percent of GDP, twice the figure allowed for euro area countries and used as a marker for the rest of the union.

Despite this, e...

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Average EU unemployment is set to rise to 9.4 percent this year, while government deficits will average 6 percent of GDP (Photo: Flickr)

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