Fresh Plaza: A recession in Europe, coupled with weakening growth in BRIC countries would slow down global economic growth as a whole the World Bank has said, with less developed nations being the worst hit. The bank has downgraded global growth estimates from 3.6% in both 2012 and 2013 to 2.5% for 2012 and 3.1% in 2013. The debt crisis in Europe is making
investors nervous and, as a result, they are putting less capital into all economies, including those of developing nations. To compound the problem the emerging nations are clamping down on lending in their own countries. This is good for individual national economies, but not good for the flow of capital internationally and likely to lead to longer fiscal difficulties. Source: www.washingtonpost.com, Source: Fresh Plaza
