Eurozone GDP to grow by 1.6% next year

The Eurozone should experience tentative growth over the next two years.

A report from Euroframe, which is an EU network of research institutes, says GDP will grow by 1.6% next year and by a further 1.7% in 2012.

However, unemployment will stand at 9.7%.

There is also some bad news for homeowners - the report forecasts a rise in the ECB's main lending rate to 1.6%.