European Central Bank cuts eurozone growth forecastJune 7, 2013 - 12:01 AMT PanARMENIAN.Net - The European Central Bank has cut its growth forecast for the troubled euro area this year, but said there were enough signs of improvement ahead that it did not need to cut interest rates further, Belfast Telegraph reported. The decision to hold off and wait for the economy to gather steam underscores the lack of quick fixes the ECB and Europe's institutions have to deal with region's stubborn recession and problems with too much debt. Bank President Mario Draghi said the economy of 17 European Union countries that use the euro would shrink 0.6% this year compared with the previous forecast of a 0.5% decline. Draghi, however, stuck with his forecast that the eurozone would begin to see growth at the end of the year. He was also slightly more optimistic about 2014, forecasting 1.1% growth, up from 1.0 % previously. The ECB also lowered its inflation outlook for this year to an annual 1.4% from 1.6% previously. The inflation forecast for next year was unchanged at 1.3%. Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Concept to complete Yerevan Cascade discussed at city hall A conceptual proposal to complete the Cascade complex in downtown Yerevan has been presented by Jean-Michel Wilmotte. Pashinyan visits flood-hit region Armenian Prime Minister Nikol Pashinyan on Saturday, June 8 visited the disaster area in the Lori province. €3.5 mln EU grant to support justice reforms in Armenia The European Union has paid €3.5 mln grant to Armenia within a €11mln program on Support to Justice Reforms. Yerevan reacts to Baku’s proposal to see Minsk Group abolition Alen Simonyan has declared that Armenia is taking steps aimed at concluding a peace treaty with Azerbaijan. |