CBI Raises Growth Forecasts for 2013-14

UK-economyThe UK's economy has begun to gain momentum leading the CBI to raise its growth forecast for 2013 and 2014 from today. However, a business group said it is still early as Britain is still falling short of a sustainable recovery.

The employer's body has targeted 1.2% growth for this year and even a stronger 2.3 per cent advance in 2014. The forecast was one percent in the month of May 2013.

The CBI's director-general John Cridland said efforts were still not able to rebalance the economy towards exports. Besides, investments are not able to get out of the starting blocks and trade has failed to contribute beyond what it's been contributing for a long period of time towards recovery.

Mr. Cridland added, "We need to see a full-blown rebalancing of our economy, with stronger business investment and trade, before we can call a sustainable recovery. We hope that will begin to emerge next year, as the eurozone starts growing again".

He said the government has a significant role to play in country's recovery. The government needs to back up talented UK businesses, so that they can establish new export markets and sell great British products across the globe.

Performance across the services, construction and manufacturing sectors, has added to country's hopes to accelerate its recovery pace.