Governments urged to focus on green growth

Governments around the world must focus on innovation and the environment in order to create jobs for the future.

This is the view of Angel Gurria, the secretary general of the Organisation for Economic Cooperation and Development, who said countries must explore new sources of growth in the years ahead.

During a meeting between German chancellor Angela Merkel and the heads of international organisations, he claimed that governments are facing one of the most difficult balancing acts in history.

He said that as they look to reduce unemployment and bring down fiscal and public debt, they must focus on innovation and green growth to help them establish a jobs-rich recovery.

On innovation, Mr Gurria said this is a "critical part of the solution" as it provides the foundation for new industries.

And on green growth, he insisted: "It bears the potential to contribute to better economic performance with new innovative technologies, new and more efficient productions methods with more sustainable value chains and new green jobs."

In the UK, mobile phone provider O2 has suggested that small businesses will create thousands of green jobs in the coming years, helping the country move to a low-carbon economy, Greenwise Business reported.