Italy, OECD: GDP will not grow more than 0.7% this year – Reuters Italy

       

MILAN (Reuters) – Italian GDP growth will not go beyond 0.7% this year and 1.3% next year, in a context in which the global economy shows signs of a slight slowdown, thanks to the uncertainty related to China and the emerging economies.

       

‘So says the OECD in the document update’ Interim economic Outlook ‘.

       

The Parisian organization has improved the outlook for Italian growth this year, bringing it to 0.7% of the estimated 0.6% in June, showing, however, more cautious of the government, which is preparing to revise upward the ‘ waiting for this year to 0.7% to 0.9%, returning to growth after three years of recession.

       

Increased prudence and a tinge of pessimism arises also for 2016. Prime Minister Matteo Renzi announced that the growth projection for next year, currently 1.4%, will be revised slightly higher, while for ‘ OECD does not go over 1.3%, against 1.5% in the June forecast.

       

“The prospects for global growth have weakened slightly since the publication of the Economic Outlook of June,” the document reads. The estimated global GDP has been reduced to 3% from 3.1% indicated three months ago.

       

“The marginal reduction in the rate of global growth for 2015 largely reflects the deterioration in the short-term outlook of the emerging economies,” the report continued.

       

The euro zone will grow by 1.6% this year against 1.5% in 2016 and the last forecast of 1.9%, two tenths less than the estimate in June.

       

“The overall growth in the euro area is improving, but … unemployment remains high and domestic price pressures are weak,” is the synthesis.

       

According to the OECD model, the block of the single currency would not have fully exploited the favorable external conditions, such as the weak euro, low interest rates and the collapse of crude oil, which should yield a higher growth by one percentage point. More …