ECB sees 'tentative' euro zone recovery

European Central Bank chief economist Mr Otmar Issing said there are some signs of a recovery in the euro zone economy and that…

European Central Bank chief economist Mr Otmar Issing said there are some signs of a recovery in the euro zone economy and that a "significant" upturn is possible in 2002.

Speaking in an interview with today's Sueddeutsche Zeitung, Mr Issing said: "There are tentative signs that an upturn is looming, particularly in the indicators.

"There could be a significant upturn in 2002, but no one can say when this will be," he said, noting that risks remain in the form of developments in the US economy, the crisis in Argentina, oil prices and wage agreements.

The fourth quarter will show a stagnation of the euro zone economy, as was the case in the third quarter and there will be "no swift recovery" in the first quarter of 2002, he said.

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AFP