The Federal Reserve slashed its 2014 growth forecast for the U.S. economy Wednesday to 2.1-2.3 percent after a deeper-than-expected contraction in the first quarter of the year.

But the Federal Open Markets Committee left its forecast for interest rates largely intact, predicting as earlier that an initial increase of the benchmark federal funds rate from the current zero level would take place only next year, and the rate would not rise rapidly after that.

The European Union is expected to announce a ban on imports from Crimea next week in response to Russia's annexation of the Ukrainian territory, two sources told Agence France Presse on Wednesday.

EU foreign ministers meeting in Luxembourg on Monday are likely to agree a move to ban imports from Crimea as from next week, notably its wine, said an EU diplomat speaking on condition of anonymity.

Germany's deputy chancellor Sigmar Gabriel hinted in a newspaper interview on Wednesday that France and Italy could be given more time to get their finances in order.

In comments which could restart a debate over austerity and growth in Europe, Gabriel struck a conciliatory tone to countries struggling to meet the EU's strict fiscal rules.

The dramatic departure of nearly 190,000 Cambodian migrant workers from Thailand threatens to hit labor-intensive industries hard, from seafood to construction, inflicting damage on the Thai economy just as it teeters on the verge of recession.

Panicked laborers -- who help keep major Thai businesses afloat but often lack official work permits -- have fled in droves, fearing a crackdown by the new military junta after it warned illegal migrants face arrest and deportation.

A stay-the-course message is expected from the Federal Reserve on Wednesday after it ends a two-day policy meeting.

The Fed will likely approve a fifth cut in its monthly bond purchases because the job market has steadily strengthened. But no clear signal is expected on when the Fed will start raising short-term interest rates from record lows.

The Asian Development Bank and two United Nations agencies have launched a hub that aims to mobilize investments and innovation to bring clean energy to the Asia-Pacific region, where more than 600 million people have no access to electricity and 1.8 billion others still use firewood and charcoal at home.

Energy demand is also soaring in the regions, and the ADB says by 2035 developing countries in the region will account for 56 percent of global energy use, up from 34 percent in 2010. They will need more than $200 billion in energy investments by 2030.

Iraq's automonous Kurdistan region wants to hike oil exports to 400,000 barrels per day by the end of 2014, despite ongoing violence and objections from Baghdad, it said here Tuesday.

"Our export level can increase, hopefully soon, by July, we may be able to double it, or at least reach 200,000" barrels per day (bpd), said Kurdish natural resources minister Ashti Hawrami at an oil conference in the British capital.

Investment sentiment in Germany fell to its lowest level for 18 months in June amid concern Europe's top economy is losing momentum, a survey found on Tuesday.

The widely watched investor confidence index calculated by the ZEW economic institute fell by 3.3 points to 29.8 points in June, it said in a statement.

The Bitcoin digital currency system is in danger of losing its credibility as an independent payment system because of the growing power of a group that runs some of the computers behind it.

In recent weeks, a British-based "mining pool" called GHash has amassed nearly half of the Bitcoin computing power and has briefly gone over 50 percent. Miners operate the computers that keep track of bitcoins and create additional coins.

Asian markets were mixed Tuesday, following a tepid lead from Wall Street ahead of a U.S. Federal Reserve policy meeting, while oil edged down a touch from nine-month highs as traders nervously watch the crisis in Iraq.

The dollar nudged a little higher against the yen after the previous day's sell-off but the uncertainty caused by events in the Gulf kept gains to a minimum.