Arab Today, arab today bank of italy forecasts sharper recession in 2012
Last Updated : GMT 20:38:10
Arab Today, arab today
Arab Today, arab today

Bank of Italy forecasts sharper recession in 2012

Arab Today, arab today

Arab Today, arab today Bank of Italy forecasts sharper recession in 2012

Rome - AFP

The Bank of Italy forecast Tuesday an economic contraction of between 1.2 and 1.5 percent this year depending on borrowing costs, a much sharper decline than the government\'s estimate of 0.4 percent. \"The uncertainty that surrounds the medium-term perspectives of the Italian economy ... are extraordinarily high and are directly linked to the evolution of the eurozone debt crisis,\" the central bank said in its economic bulletin. The bank advanced two scenarios, each based on interest Italy must offer to borrow on sovereign bond markets. The first scenario was calculated with a rate of about 7.0 percent currently demanded by investors for 10-year Italian debt and widely considered to be unsustainable. Under these circumstances, the bank said, the Italian economy would contract by 1.5 percent in 2012 and would remain stalled in 2013. In a second scenario, under which borrowing prices fell by 2.0 percentage points from current levels, the economy would contract by a 1.2 percent in 2012 before rebounding by 0.8 percent next year. Italy, the eurozone\'s third largest economy, saw economic activity contract by 0.2 percent in the third quarter of 2011, according to official data. The central bank expected it to have shrunk by an additional 0.5 percent in the last three months of the year, which would give an annual growth rate of 0.4 percent. Italy\'s debt pile of more than 1.9 trillion dollars ($2.4 billion), equivalent to about 120 percent of gross domestic product, has policymakers and investors on edge. It must borrow around 450 billion euros this year, in large part to honour payments related to that debt. Meanwhile, the central bank noted that a pick-up in employment that began in late 2010 \"stopped in the final months of last year.\" It said that \"the priority is now the creation of conditions to relaunch the Italian economy\" following several austerity plans designed to reduce the public deficit and debt, the last of which was adopted in late December. The government of Prime Minister Mario Monti is expected to approve Friday a programme designed to increase economic competition and reform labour laws. Finally, the 2011 public deficit should be close to Rome\'s target of 3.8 percent, the central bank said. That nonetheless still exceeds the eurozone target of no more than 3.0 percent.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today bank of italy forecasts sharper recession in 2012 Arab Today, arab today bank of italy forecasts sharper recession in 2012

 



Arab Today, arab today
Arab Today, arab today Ideen Belmahdy happy to be part of “ Fashion Star”

GMT 17:00 2017 Sunday ,26 February

Ideen Belmahdy happy to be part of “ Fashion Star”
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 13:47 2017 Friday ,24 February

Rabia Fatima reveals role of "Facebook" in her career

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday