• Growth and the euro
Opportunities notwithstanding, however, economic and political risks remain high and are inextricably linked throughout the euro zone. Businesses will need to be aware of and prepared for these risks, whether they are hunting for bargains or preparing their defaces.
In many parts of the region, economists have flagged the real possibility of a double-dip recession. Even in Germany, Europe’s powerhouse economy and reluctant savior, forecasters are predicting less than 1% growth for 2012. Many politicians and economists, both inside and outside the euro zone, also worry about the threat that resurgent nationalism and protectionism could pose to the single market and the free movement of capital, goods and people across the EU.