LONDON - EUROPEAN shares were set to fall on Monday as worries about the global economy intensified and Japanese stocks slid to their lowest close in nearly three decades.

The decline would follow the 4.9 per cent slump on Friday that took the FTSEurofirst 300 index of leading European shares to its lowest close in five and a half years.

Britain's FTSE 100 , Germany's DAX and France's CAC-40 were seen opening down between 1.8 and 2.3 per cent, according to financial bookmakers.

Japan's Nikkei index tumbled 6.4 per cent to its lowest close in 26 years.