2012, Global Economy | featured news

Brazil has had a tough two years. This last one in particular has been rough. A crime wave swept Sao Paulo, the nation’s largest city, towards the end of the year. But more importantly, a country that wants to be the country of the future, with all the amenities and a stable economy, has seen its confidence dwindle a bit. This is not the Lula years, in reference to popular president Luiz Inacio Lula da Silva. The nation that will hold the FIFA World Cup in just two short years and later the Summer Olympics in 2016 is scratching its collective heads. How did Brazil go from one of the biggest economies in Latin America, to be usurped by Mexico now as measured by investor appetite and losing the No. 6 global economy position to the U.K. in less than a 12 months.

Unemployment in the 17-country euro currency bloc hit another record in May as the crippling financial crisis pushed the continent toward the brink of recession, official figures showed Monday.

The world economy will lose momentum in 2012 but it will keep moving in the right direction, according to Reuters polls of around 600 economists who said crisis-hit Europe would drag on global growth.

Greece faces another tough year in 2012 but must stick to its program of austerity and reform to stay in the euro, Prime Minister Lucas Papademos said in a pre-recorded New Year's Eve address.

After a year marked by a wave of popular uprisings, deadly natural disasters and continued economic uncertainty, millions around the world are set to ring in 2012 with a party... As the clock strikes midnight around the world Saturday, people are ushering in a new year with fireworks and festivities, purpose and promises -- and a string of resolutions they'll no doubt break.