Robert Mundell, the Nobel Laureate whose research helped set the foundation for the creation of the Euro, said the US and Europe should cooperate to prevent exchange-rate swings from worsening the global recession.
Japan's economy shrank at its sharpest pace in over three decades in the final quarter of 2008. The global financial storm and languishing overseas demand dealt a stunning blow to the export-driven economy and the world's second largest.
The British government will have to borrow almost £100 billion more than previously forecast as it tries to bring a deeper-than-expected UK recession under control, business leaders warned.
The head of Britain's Financial Services Authority (FSA) has admitted that the watchdog did not focus enough on the excessive risks being taken by banks.
Ecuador won't pay bondholders 135 million US dollars in interest while it decides whether to default on a significant percentage of its foreign debt, deemed illegitimate by in audit, said on Saturday Finance minister Maria Elisa Viteri.
Spain's economy shrank by the most in more than 15 years in the fourth quarter in what may become the worst recession in half a century pushing the unemployment rate to the highest in Europe.
Shares in UK's Lloyds Banking Group, the company formed after its merger with HBOS, have tumbled after it said HBOS losses would be worse than expected.
US President Barack Obama welcomed on Saturday Congress's approval of his 787 billion US dollars economic stimulus package. He described it as a historic step and major milestone on our road to recovery, and is expected to sign the bill into law early next week.
The Group of Seven industrialized nations meeting in Italy are pledging to work together to revive the global economy, while warning against protectionist measures.
European industrial production dropped the most on record in December, pointing to a deepening economic slump in the fourth quarter. Output in the Euro region fell 12% from the year- earlier month after an 8.4% decline in November, the European Union's statistics office in Luxembourg said on Thursday