December 7th, 2012
07:19 AM GMT
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 (CNN) – The 2013 forecast for European economic growth has turned into a prediction for decay. The European Central Bank on Thursday flipped next year's gross domestic product forecast from growth of 0.3% to a fall of 0.9% next year.

Martin Sorrell, CEO of WPP, told CNN's Richard Quest he fears Europe's growth problem will last more than just one year.

"This is a decade of slow growth. We are halfway through it. Hopefully we are halfway through it," says Sorrell. "And there's going to be another three, four, five years of tough stuff until we get out of it around 2017, 2018."

But Sorrell, head of the world's largest advertising company, said he sees an easier path for Eastern Europe over Western Europe. He is optimistic for the former, citing energy resources in Germany and Poland, and is even "very bullish" on Russia.

"The axis of those three countries is very popular and is very positive - certainly in the short to medium term and maybe even longer term," says Sorrell.

But Sorrell says it will be "tough sledding" for France, Italy, Spain and the United Kingdom.

On Thursday, ECB President Mario Draghi outlined Europe's short-term growth challenges as the eurozone fell back into recession in the third quarter. Poor consumer demand, investor sentiment and "subdued" foreign demand led to the downgrade, Draghi said.

Europe's chronic debt crisis has also loomed as a cloud over the Continent the past few years.

The U.S. fiscal cliff is yet another concern. If Washington fails to stop a series of automatic tax hikes and spending cuts scheduled to kick in on the first day of 2013, the non-partisan Congressional Budget Office says the world's largest economy could fall back into recession and potentially take other countries down with it.

WPP's Sorrell blames the past few years for the problems of the present and the future.

"Given the excesses of the past, given the overexpansion, the overinflation of the money supply, the problems that we had which culminated...in August 2007 in the United States with the subprime crisis - and really were topped out by the Lehman crisis of September 2008 - really it's going to take a long time for us to get through that."



soundoff (14 Responses)
  1. santafegreencleaning

    Reblogged this on santafegreencleaning.

    December 7, 2012 at 2:11 pm |
  2. Ron

    Quest, I heard you describe that nurse who killed her self today as not being British. You ask your self this question. How many of those racist British people would ever consider you Quest being British. Think about it before you make statements like that. Not even your thick British accent would ever change those racist British people's minds.

    December 8, 2012 at 4:52 am |
  3. Jake Rollins

    More screaming Mr. Quest is what you seem to do best.

    December 12, 2012 at 7:49 pm |
  4. Chris

    Hi Richard, I enjoy your show when YOU present it! Please have CNN tell us when you are absent so I can avoid switching on! As for Ron, the nurse concerned is being buried in India, where does Ron wish to be laid to rest? He sounds like a typical left wing DHSS counter clerk!

    December 12, 2012 at 8:13 pm |
  5. Chris

    Hi Richard,
    Now the FED is into serious money printing when are you going to ask the wheeler' s and dealers when we can expect a massive rise in commodities, oil and food prices. Brace for a huge devaluation in the USD!! Maybe Ron should book a rest home in Delhi?

    December 12, 2012 at 8:18 pm |
  6. BRIAN DELANY STARR


    SEE THIS VIDEO AND PRAY FOR OUR KIDZ ACCROSS THE WORLD!
    LIGHT AND LOVE,
    YOUTUBE STARRQUEST1-4 CHANNELS
    YA HOID!

    December 18, 2012 at 12:05 am |
  7. George Nonde

    Dear Richard,

    Just a correction on your comment about Zambia rebasing of the Kwacha. You made a comment that the rebasing was done to counter spiraling inflation, this is not the case. The rebasing was done to mitigate the effect the inflation had when Zambia had hyper inflation in the 80s and 90s which resulted into the zeros creeping in on the currency. This measure was done correct the situation as inflation has now stabilised to a single digit.

    January 3, 2013 at 8:07 am |
  8. David

    Not very good updating on this site Richard. Your shows are entertaining, but I think you would be better off withourt this site if you don't have the time to keep it updated.

    January 8, 2013 at 8:24 am |
  9. LORD JESUS CHRIST THE SON OF GOD

    MATTHEW21:1-5[]-6-42+2348169319381

    January 13, 2013 at 5:02 am |
  10. John

    On all programs of yours Mr. Richard and Mr. Piers Morgans on 'gun control' the funding matter of political parties has not been addressed. If you return to not allowing major multinationals, gun companies, financing the Republic party and airline manufactures supporting the democratic parties, Mr. Piers Morgan and your good self may answer the questions CNN is trying to answer.
    Stop American multinational companies financing political party's in America during elections. If a political party takes 200 million for a fund raising. The donation, if the party wins, has to be re payed.
    Cancel all party donations at elections. This was President Obama wish. It should stay that way, other wise you will be assured of unsure election results.

    Please forward this to Mr. Piers Morgan. This Mr. Morgan should address on his present program on 'gun control'

    Change USA government rules through the congress. I do not think it will happen. It is sad when the world has such great leaders who want to make a change and make a fresh a new start.

    Hope this message can do for the better for all.

    January 16, 2013 at 9:03 pm |
  11. sandeep dhiran

    richard the riskometer is in the centre, its both the US & EU. the uncertainity is from both the sides of atlantic.

    January 21, 2013 at 7:18 pm |
  12. aidas

    Dear CNN, this computer have a litle of 3 persons family and for you wanna say, – I just "onion" I like not for every power autority, bekose ewery autority for us is it just Mr. "Pomidoro(tomate), It is all for us.

    June 24, 2013 at 8:16 pm |
  13. MR RICH QUEST: PANATAG

    PANATAG brgy san juan mc arthur hi way balagtas bulacan DAHIL SA REQUEST “DEPT OF JUSTICE” “COMMISION HUMAN RIGHTS” DUTIES of our LOCAL OFFICIALS but, "ignoring DECLARATIONS OF AUTHORITIES"
    Demi Lovato – Skyscraper LIVE at Ellen 2011.

    July 18, 2013 at 3:43 am |
  14. Dong

    Quest m..bus... But he does not understand it: he should stop bashing europe, learn more and stop his narzism. Why does cnn employ the guy? Why?

    July 28, 2013 at 9:23 pm |

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About Quest Means Business

Quest Means Business airs Monday to Friday, 1600 New York and 2100 London, and is hosted by Richard Quest.

 

 

 
 
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