Indicator up, but concerns remain on strength of recovery

Media release from the International Chamber of Commerce (ICC)

February 17, 2010 (Paris) -- The World Economic Climate Indicator rose in the first quarter of the year for the fourth consecutive time due primarily to positive assessments of the current economic situation in Asia, but the expectation of a continued rise in unemployment, and other factors, raised concerns about the strength of the recovery.

"After four consecutive positive results the latest survey results can be interpreted as a clear sign of a global economic recovery," concluded the International Chamber of Commerce (ICC) and the Ifo Institute for Economic Research, who jointly conduct the global economic survey each quarter.

"While the world economy is clearly recovering, national and international economic policies will need to address challenges including rising unemployment and high levels of public debt if the global economy is to return to balanced and sustained economic growth," ICC Secretary General Jean Rozwadowski said.

The climate indicator rose to 99.5 compared with 91.4 in October, exceeding its long-term average of 96.9 during the 1991 to 2009 period for the first time in two years. "Above all, developments in Asia have contributed to the better-than-average economic climate," the report said. "In all other major economic regions, however, the indicator is still below its long-term average."

But the experts questioned said that even in Asia the six-month outlook, though optimistic, is expected to be less favourable than in the previous quarter. The experts have less optimistic expectations for North America but confidence with regards to the coming six months is higher for both western and eastern Europe.

The report warned that while "the acute phase of the financial crisis is behind us" a number of factors raise concerns about the strength of the current recovery. These include rising unemployment in many regions, insufficient demand, large deficits in public finances, and the pressure of fiscal consolidation that will force many economies to scale down the fiscal and monetary measures taken during the crisis.

The survey, which polled 1,057 experts in 94 countries in January, said the majority of those questioned expected both short and long-term interest rates to rise this year, another element that may affect economic growth. The experts also said they expected a worldwide inflation rate of 2.9% this year, compared with an estimated rate of 2.5 % for 2009.

Asia leads the way

As has been the case in the recent past, Asia was the region with the highest level of economic confidence. The report assessed the situation as particularly strong in China, where the present economic situation stabilized at a favourable level, as well as in Hong Kong, Vietnam and India. Both the Chinese and the Indian economies are expected to grow substantially this year.

"Although economic growth in China is partly attributed to its high fiscal stimulus and credit easing, there are also chances for positive multiplicator effects on private consumption, which is expected to remain buoyant in the first half of 2010," the report said.

The current economic situations of the Philippines, South Korea and Malaysia were upgraded considerably by the polled experts. But while the forecast for Japan is optimistic, the present economic situation in that country remains very weak.

Optimism in Western Europe and North America

The climate indicator for Western Europe improved significantly, and economic expectations continued improving as they had throughout 2009. But the climate did not improve in all of the countries of the euro area, deteriorating in France, Greece, Portugal, Slovenia and Cyprus. The current situation was assessed as being weakest in Ireland, Spain and Portugal, while economic expectations were upgraded for the Netherlands, Belgium, the United Kingdom and Ireland.

The economic climate indicator for Canada and the United States improved for the fourth consecutive quarter but only because of a better assessment of the current situation even as economic expectations remained positive. "However, particularly in the US, the present economic performance is still assessed with very low marks," the report said.

The ICC-Ifo report said the present economic situation in Russia remained weak, although considerably less so than last year. The driving engine of the economy continues to be the export sector, which is expected to continue growing during the next six months.

The present economic situation in the vast majority of central and Eastern European countries remains weak, with particularly low marks given to Romania, Latvia, Estonia, and Lithuania, which along with Bulgaria were hit particularly hard by the economic crisis.

In Latin America the climate indicator improved in January, with assessments of the present economic situation strongly upgraded and expectations for the next six months seen strengthening further. The economic climate is particularly favourable in Brazil, Chile, Peru and Uruguay.

G20 expected to improve coordination of world economy

The vast majority of the surveyed economists replied positively to an ICC special question asking whether they believe that the emergence of the G20 as the premier forum for international economic cooperation will lead to better coordination of the world economy.

In Asia 80 % of respondents either strongly agreed or agreed that the G20 will lead to better coordination, followed by the Near East (77%); respondents from the G20 countries themselves (76%); North America and Latin America (both with 72%); and Western Europe (71%).

For more information, including charts and graphs, please contact:

Dawn Chardonnal
Communications Manager
Tel: +33 (0)1 49 53 29 07
E-mail: dawn.chardonnal@iccwbo.org

For more information please visit: www.iccwbo.org

Europe is now an essentially urban society, with four out of five Europeans living in towns and cities. Most of the environmental challenges facing our society originate from urban areas, but it is also these urban areas that bring together the commitment and innovation needed to resolve them.

Starting in 2010, one European city will be selected each year as the European Green Capital of the year. The award is given to a city that:

• Has a consistent record of achieving high environmental standards
• Is committed to ongoing and ambitious goals for further environmental improvement and sustainable development
• Can act as a role model to inspire other cities and promote best practices to all other European cities

This video gives an introduction to Bristol (UK). Nominated as a finalist for 2010 and 2011, the city has benefitted extensively from the attention that it has gained as a result of this success. It has now been labelled the 'UK's Greenest City', and as a result its people are proud, its hotels are fuller than before and innovative industries are flocking to the area.

Award recognises innovation in sustainable public policy and urban logistics

On 25 January, Alfredo Peri, Regional Minister for Mobility and Transport of the Emilia Romagna Region, handed out the SUGAR Award for 2010 in Bologna, Italy.

The SUGAR Award is sponsored and supported by the SUGAR project, funded by the European Union within the European Territorial Cooperation Programme INTERREG IVC (European Regional Development Fund). It is a European prize for local authorities who have developed innovative and sustainable public policies and measures in city logistics. The award has two categories: 1) metropolitan areas and large cities, and 2) small and medium-sized cities.

The award commission was composed of technical experts from SUGAR partner organisations. Applications were assessed according to the technical and analytical background of the city logistic measures, their sustainability and ability to match business needs and environmental protection, and their capacity to encourage public-private cooperation.

The Municipality of Rotterdam was selected as winner in the first category, thanks to the development of its urban distribution centre (Binnenstadservice Rotterdam) and the PIEK concept, which allows transport companies using silent vehicles to make deliveries early in the morning or late at night.

The Municipality of Parma was named winner in the second category for implementation of its ECOLOGISTICS project, which aims to rationalise the distribution of diverse goods, including 'fresh products' which are often excluded from current city logistic projects.

The award ceremony also hosted technical presentations of experts and logistics operators and a high level round table debate in which all the main municipalities of Emilia-Romagna discussed the future of public policies for city logistics.

For more information on SUGAR you can contact:

Lead Partner of the Emilia Romagna Region, Paolo Ferrecchi .

Technical Coordinator at the Institute of Transport and Logistics, Alberto Preti

Dissemination Managers for POLIS Karen Vancluysen or Gabriela Barrera. 

ERA-ENVHEALTH has published its second newsflash issue, which includes information about the project's progress.

If you are interested in receiving further information regarding the project results or in contributing to the next issue, please contact Project Coordinator Adrienne Pittman.

Feel free to spread this information to any of your colleagues and professional networks.

'Award' goes to country most obstructive to ongoing climate change negotiations

By CEE Bankwatch Network

10 December, Copenhagen, Denmark -- Day two of the United Nations climate negotiations in Copenhagen saw NGOs from around the world awarding Ukraine the top prize - and the third place prize - in the mock 'Fossil of the Day Award', given to the country or countries doing the most to obstruct progress in the global climate talks.

Click here for rest of story.

European Commission urged to intervene

From CEE Bankwatch Network

Sofia, Bulgaria – Two Bankwatch groups and the members of the Cyanide Free Bulgaria coalition outlined today at a press conference in Sofia the ongoing problematic issues hanging over the proposed introduction of controversial cyanide leaching at the Chelopech mining project and with the Bulgarian government's handling of the environmental procedures for wider use of cyanide in mining projects across the country.

Click here to read more.

Fair solutions are financially and technically achievable, but political will is still required

From Friends of the Earth Europe

Brussels – One week ahead of crucial climate change talks in Copenhagen, a new study released today by Stockholm Environment Institute in partnership with Friends of the Earth Europe proves for the first time that Europe could double its greenhouse gas emission reduction target for 2020.

EU funds involved in Bydgoszcz waste-burning scheme

From CEE Bankwatch Network

Warsaw, Poland -- An announcement from the Polish city of Bydgoszcz that it plans to end its waste separation collection scheme by the end of this year end has been criticised by CEE Bankwatch Network's member group Polish Green Network. The proposed move comes as Bydgoszcz looks to become the first Polish city to receive EU funds for the development of a new waste incinerator by 2012.

Click here to read more.

Health groups welcome decision to accept resolution amendments

From The Health and Environment Alliance

Brussels, November 25 - In a plenary vote on its Resolution on Climate Change, the European Parliament has today recognised the need to consider public health, as well as the co-benefits of emission reductions to global health.

GWEC extends media inviation to journalists, photographers and camera crew attending COP 15

The following events are on offer to interested parties:

Boat trip to the Middelgrunden Offshore Windfarm

Discussion with international CEOs

Wind Power Works reception

Registration is obligatory. Contact Angelika Pullen for details.

Government, meanwhile, diverts EU funds to 'landfill in the sky'

From CEE Bankwatch Network

Prague, Czech Republic -- A proposal to cut money for the recycling of waste announced by the Czech government today will increase Czech imports of raw materials and lead to environmental damage, according to Czech Friends of the Earth, member group of CEE Bankwatch Network.

Click here to read more.

WILD9 adjourns with call to protect half the planet

From WILD9.org

Merida, Mexico --The week-long WILD9 congress concluded today (Nov. 13) with the launch of a vision that humanity should move immediately to protect a least half of planet -- land and sea -- in an interconnected manner.

Waste-prevention manual examines prevention prescriptions at EU level

From ACR+

Brussels - ACR+, the Association of Cities and Regions for Recycling and Sustainable Resource Management has published a new guide entitled "Quantitative Benchmarks for Municipal Waste Prevention - A guide for Local & Regional Authorities in support of the new Waste Framework Directive".

REC Slovenia offers partnership support in raising public awareness about air quality

CITEAIR II has started! Going beyond the objective of CITEAIR I, this new project aims at exchanging excellence on air-quality management and its synergies with climate change mitigation, as well as enhancing comparisons between cities and information to the public on air quality.

Click here for subscriber information, and here to download PDF of first newsletter.

Medulin Municipality plans to go ahead with RWMC construction

From Ne-Kastijun

Ten-thousand people have signed a petition against construction of a regional waste-management centre, but project financing continues apace.

Click here to read more.

Violations at EBRD power lines project spark clashes between police and villagers

From CEE Bankwatch Network

Kiev, Ukraine - A project financed by the European Bank for Reconstruction and Development (EBRD) in the Odessa region of Ukraine has this week been the scene of clashes between 300 police officers and villagers resisting the routing of high voltage power lines through their village. The EUR 25.8 million Odessa High Voltage Grid Upgrade project is being implemented by Ukraine's national electricity company Ukrenergo in violation of agreements with the EBRD, the international public development bank and backer of the project.

Click here to read more.

EEB disappointed with concessions and exemptions

From the European Environmental Bureau

Brussels - The European Environmental Bureau (EEB) is disappointed with the final conclusions of yesterdays meeting at the European Commission regarding the Energy Performance of Buildings Directive (EPBD), which saw many concessions and exemptions made.

Climate change talks take place in Barcelona

By Health Care Without Harm / Environment & Health Alliance

Barcelona - Some of the world's largest medical, nursing and public health organisations are calling on world leaders to take bold action to address climate change. They say that this is needed to avert what could become a global public health crisis.

'Award' exposes business lobby underminding climate action

From angrymermaid (dot) org

Brussels/Copenhagen - Business attempts to undermine a strong and just global agreement on climate change are being put under the spotlight in the countdown to United Nations negotiations in Copenhagen with a special award, jointly organised by Corporate Europe Observatory, Friends of the Earth International, Focus on the Global South, Attac and Spinwatch.

Click here to read more.

Study shows that Arctic could be free of summer ice within a decade

From WWF

London, UK - New data, released today by the Catlin Arctic Survey and WWF, provides further evidence of thinning Arctic Ocean sea ice, supporting the emerging thinking that the Ocean will be largely ice-free in summer within a decade.

Click here to read more.