Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

France calls on ECB to fix 'broken' Europe, as German & French GDP lag

France calls on ECB to fix 'broken' Europe, as German & French GDP lag

The German and French economies both disappointed in the second quarter, casting doubts over the eurozone’s fragile economic recovery.

The German economy shrank 0.2% during the second quarter, while the French economy failed to record any growth over the same period. It is the second consecutive quarter the French economy has not recorded growth. The implications for the currency bloc are profound and suggest further signs that it is moving towards deflation.

The French stagnation means the government will miss its budget deficit this year and will halve its gross domestic product forecast for 2014. Fresh from the figures the country called on the European Central Bank to do more to tackle the risk of deflation and bring the euro to a more competitive level.

Sky news reported that French finance minister Michel Sapin told the daily Le Monde newspaper: 'Growth has broken down, in Europe and in France. With zero growth in the second quarter, thereby extending the stagnation we saw in the first, our country is slowing down and will not achieve the 1% growth observers were predicting three months ago.'

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play French fund CEOs: 'Brexit is a lose-lose situation for all of us'

French fund CEOs: 'Brexit is a lose-lose situation for all of us'

'We'll all lose out - but London is an international city, Paris is not.' Leading French asset management CEOs tell us what they think Brexit will mean for the investment business.

Play Mark Barnett - part 2: why I'm not buying Lloyds

Mark Barnett - part 2: why I'm not buying Lloyds

In the second part of our exclusive video interview, Barnett explains why he has no intention of buying Lloyds, and where he sees the greatest income opportunities.

Play Wealth managers reveal the best investment ideas of the year

Wealth managers reveal the best investment ideas of the year

From robotics to impact investing, wealth managers share the best ideas they have heard this year.

Read More
Wealth Manager on Twitter