So says ratings agency Fitch in a report published a short while ago
Says Fitch:
"The increase in Eurozone second quarter GDP is consistent with our view that the single currency area's short-term macroeconomic outlook has improved, but medium-term growth prospects are generally weak.
Our baseline forecast is for eurozone GDP growth to increase from 0.9% in 2014 to around 1.6% in 2015-2017, supported by a weaker euro, low oil prices, rising confidence, and ultra-loose monetary policy (including QE) and improved credit conditions.
Nevertheless, high debt and structural weaknesses will weigh on the recovery, and potential growth is weak compared with other major advanced economies.
Despite the bloc's better macroeconomic short-term outlook, we have taken more negative than positive rating actions on eurozone sovereigns in recent months, with weak actual or potential growth and/or deteriorating fiscal metrics a contributing factor in several cases. This includes Finland, which was the only eurozone country where Friday's data showed GDP contracting in 2Q15. We revised the Outlook on Finland's 'AAA' rating to Negative from Stable in March due to weak and worsening growth prospects and structural weaknesses in the economy, after several years of sluggish performance."
Full report here
