26 JANUARY 2012
 
The International Monetary Fund (IMF) www.imf.org has revised down the Euro area's growth, projected to experience «  a mild recession in 2012 » or -0.5% as the single currency region entered « a perilous new phase  towards the end of last year » due to its unresolved debt crisis according to the organization's communication.

The spill-over into other parts of the world « including the United States, emerging markets and developing countries « stems from Europe's role, « the epicenter of the danger » but the Fund's conviction that Europe is « key to restore confidence » remains firm due to known solutions to the crisis which include « supporting growth, while sustaining fiscal adjustment, containing deleveraging, and providing more liquidity and monetary accommodation«, in other words, its capacity to demonstrate and implement  austerity measures to curb public deficits without squashing the real economy, and including its Central Bank's involvement. 

France's GDP is forecast at +0.2% in 2012 prior to picking up to +1% in 2013. The Organization for Economic Cooperation and Development (OECD) http://www.oecd.org was more optimistic about France's growth in 2013, or +1.5% but not so with 2012 projections or +0.3%. In Germany, the IMF projects growth to inch up +0.3% and +1.5% the following year. Spain and Italy are each expected to enter a recessionary phase in 2012 , respectively -1.7% and -2.2%  and in 2013 at -0.3% and -0.6%. The Fund is more confident about the UK, a non Euro area country, where growth is foreseen at +0.6% in 2012 and +2% in 2013. Eastern and Central Europe are seen in positive territory or +1.1% in 2012 and +2.4% in 2013. In the USA, growth is projected at +1.8% in 2012 and +2.2% in 2013.