Europe needs investment boost to ignite

With EU growth barely breaking 1%, new and novel ways to revive flagging investment levels are needed, says Jean Pisani-Ferry

ECONOMIC growth in Europe remains disappointing. Virtually all EU members are expected to post higher output in 2014 but, according to the International Monetary Fund’s latest projections, the average growth rate in the eurozone will barely exceed 1%. And, whereas the British economy is displaying strong momentum, its GDP has only now surpassed the pre-crisis mark. In per capita terms, the EU is still poorer than it was seven years ago.

In this context, a new policy target has emerged: Investment.