Global economic activity is picking up, but the continuing crisis in the euro area is delaying a meaningful recovery, The Organization for Economic Co-operation and Development (OECD) said in its latest Interim Economic Assessment.

The Assessment, presented in Paris by Chief Economist Pier Carlo Padoan, says that the G7 economies are expected to grow at an annualised 2.4 per cent rate in the first quarter of 2013 and at a 1.8 percent rate in the second. It notes that financial markets are out-pacing real activity, which has been held back by weak business and consumer confidence, and highlights the risk that asset prices may rise beyond levels justified by fundamentals.

“The global economy weakened in late 2012 but the outlook is now improving for OECD economies,” Padoan said. “Bold policy action remains necessary to ensure a more sustainable recovery, particularly in the euro area, where growth is uneven and remains slower than in other regions.”