27 May 2010

OECD warns Europe debt crisis threatens recovery

10:11 am on 27 May 2010

The Organisation for Economic Co-operation and Development says the eurozone must overhaul the management of its economy to ensure economic recovery and the survival of the euro.

It says the recent debt crisis poses a threat to Europe's weak recovery and "bolder measures" are needed to be taken to ensure the crisis is brought under control.

The OECD forecasts the eurozone economy would grow by 1.2% this year - compared to an estimate of 0.9% growth in its previous economic outlook in November.