EU executive cuts growth forecast for eurozone

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By Euronews  with WITH REUTERS
EU executive cuts growth forecast for eurozone

The European Commission has cut its growth forecast for the eurozone.

The EU executive now predicts 1.6 percent growth this year, down from from a previous forecast of 1.7 percent.

The EU executive also lowered its forecast for entire eurozone area for next year.

Officials believe growth will be 1.8 percent in 2017, down from an original forecast 1.9 percent three months ago.

The Commission also called on spendthrift countries to keep their deficits under control, reduce public debts and carry out necessary structural reforms.

France, Italy, Spain and Portugal are set to miss European Union budget targets this year and next without urgent government action, the European Commission forecasts showed.