The OECD says the economic outlook has improved for the first time in two years, but soaring unemployment and ballooning budget deficits could knock a weak recovery off track.
OECD sees the slowdown in its 30 member countries as being close to the bottom, with anemic growth of +0.7% returing next year after a -4.1% contraction this year. Those forecasts are an improvement from previous forecasts of -0.1% and -4.3% respectively
OECD chief economist Jorgen Elmeskov said “This is the first time since 2007 that we have revised up the projection” adding “the bad news is that the projection still implies that we are only nearing the bottom now and the recovery that follows is going to be a very slow one, probably a fragile one.”
