Sydney, 21/02/2014 (Agence Europe) - On 21 February, the Organisation for Economic Cooperation and Development (OECD) called for ambitious global reforms in a wide area of domains to encourage healthy, sustainable economic growth.
In a report entitled Going for Growth, the OECD says that its members, which include 21 EU member states, have continued to make progress, despite the problem of making reforms against a backdrop of low growth, but the pace of reform seems to be easing up and reforms have become piecemeal and gradual. The OECD says that the intensity of reform is highest in eurozone countries under direct pressure from the markets or from financial aid programmes.
High unemployment is of concern in much of Europe, particularly in the south and centre, where long-term unemployment remains high, although it has reduced slightly since the end of the crisis, notes the report. The high unemployment is caused, says the OECD, by the many obstacles to job creation and worker mobility, along with insufficient backing for job-seeking and developing new skills.
The report notes that in southern eurozone nations, which have been the hardest hit by the economic crisis, tighter reforms of product markets should help encourage the impact of large-scale labour market reforms implemented over recent years. Countries facing a speedily ageing of the population, Germany for instance, should ensure better integration on the labour market and boost productivity in the service sector.
Reform of liberalisation of the products market has slowed over the past five years, states the OECD, but says that the greatest improvements have been seen in Greece, followed by Poland, Portugal and Slovakia. The report says that competition is viable on the products markets, where regulations should encourage competition, rather than hindering it. (CG/transl.fl)