Eurozone faces 'mild' recession in 2012 - E&Y

The eurozone faces a "mild" recession in the first half of next year, restricting full-year economic growth in the region to just 0.1%, according to Ernst & Young.

The audit firm said investors remain concerned about the commitment of the eurozone leaders to reform despite the Eropean Union (EU) summit earlier this month. However, Ernst & Young said it did expect eurozone growth to recover in 2013, to somewhere between 1.5% and 2%. "The reforms agreed at the summit on 9 December were a step in the right direction and the response seems to have been mildly positive," writes Ernst & Young. "Yet investors remain very concerned about the commitment and ability of eurozone governments to implement reforms quickly." Meanwhile, Greece said it wou...