Economists predict grim future for struggling eurozone

THE eurozone economy grew just 0.2% in the third quarter, as solid growth in Germany and France was dampened by countries at the sharp end of the debt crisis and economists expect a slide into recession by early next year.

Growth from July to September was the same as in the second quarter, but the outlook for the last three months of 2011 is dim, with the region’s deepening debt crisis weighing on sentiment and consumer confidence.

“The economic slump will accelerate in the coming months,” said Christoph Weil, economist at Commerzbank. “We expect real GDP to already fall in the closing quarter of 2011 at a rate of 0.25% on the third quarter,” he said.