The OECD has cut growth forecasts for both the eurozone and the US and said it expects the European Central Bank to cut rates over the coming months It also said a solid economic recovery is likely to be slow to materialise, but added that a fall back into recession is unlikely. "A broad-based economic recovery is unlikely to emerge until current uncertainties dissipate, possibly well into 2003," the Paris-based think tank said in its semi-annual Economic Outlook The organisation cut its forecast for eurozone growth this year to 0.8pc from 1.3pc, and its projection for 2003 to 1.8pc from 2.9pc. It expects growth to rise to 2.7pc in 2004. The forecasts are broadly in line with those of the EU Commission outlook, published last week. The OECD also said it expects the ECB to cut its main refinancing rate by 50 basis points to 2.75pc in coming months. The outlook takes into account the recent loosening of US monetary policy as well as the Federal Reserve's willingness to act again, if necessary. "[The outlook] also incorporates an early 50 basis points cut from the ECB, in a context of weakening inflationary pressures and subdued recovery," it said.//www.fxcentre.com