Greek economy seen shrinking further next year

Updated: 11/27/2013 8:05 AM KSTP.com

(AP) ATHENS, Greece - A leading international economic body predicts that Greece’s economy will shrink further next year and the government might need more financial help.

The Organization for Economic Cooperation and Development projects the economy will contract 0.4 percent in 2014, compared with the Greek government’s forecast for 0.6 percent growth.

Greece’s economy is contracting for a sixth consecutive year, and the government has been relying on rescue loans from the International Monetary Fund and other European countries since May 2010.

In a survey published Wednesday, the OECD said it expects the economy to start growing again at some point next year, but not enough to avoid a negative rate for the full year. It said the "depression has been much deeper than expected" and the need for further aid "cannot be excluded."

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