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ECB to help businesses, says top central banker

Agence France-PresseMay 18, 2013 01:15

The European Central Bank is exploring ways to directly help small and medium-sized companies as a way to boost the recession-hit eurozone economy directly, said Benoit Coeure, A member of the bank's executive board. Coeure, speaking at a conference south of Paris, did not say how exactly the policy would work and stressed that the ECB would not intervene to replace "other actors" including struggling banks burdened by non-profitable assets. Coeure said the ECB "can only act within its mandate" and would allow the transfer of private sector risk onto its balance sheet.

Top officials seek to address euro currency's institutional failings, seek end to IMF role

The Canadian PressMay 17, 2013 12:00

BERLIN - Engineering a financial bailout for Cyprus in March was such a chaotic process that top European officials say it is time to rethink how the region manages its crisis — and who should be involved. Officials say the International Monetary Fund, which has contributed financial expertise and billions in emergency loans, may no longer be needed as a key decision-making partner. And they say that the eurozone would be able to make decisions and take action more quickly if it wasn't bound by the need for unanimous agreement among its 17 member countries.

EU welcomes Hollande's commitment to Europe

Agence France-PresseMay 17, 2013 11:16

The European Commission welcomed Friday French President Francois Hollande's "deep commitment" to Europe and looked forward to seeing promised proposals to boost the flagging EU. "We hail the deep committment of France and the French authorities to Europe," a European Commission spokesman said of Hollande's comments Thursday that he would take the initiative to end Europe's "lethargy" and promote a closer political union within two years.

EU bank stress test, asset review by mid-2014

Agence France-PresseMay 17, 2013 10:30

A review of banks' assets and a subsequent stress test for euro area banks could be published by mid-2014, before a single European bank supervisor becomes operational, a top European Central Bank official said Friday. "Such a comprehensive assessment is needed before the SSM (or Single Supervisory Mechanism) becomes operational," ECB Executive Board member Yves Mersch told a conference in London. A copy of his speech was made available on the ECB's website.

European Commission predicts Greek recession to end in 2014 but unemployment to stay high

The Canadian PressMay 17, 2013 09:46

ATHENS, Greece - Greece's deep, six-year recession is likely to end in 2014, but growth will be weak and unemployment will remain above 20 per cent for another three years, the country's international debt inspectors said. The European Commission issued the gloomy predictions Friday in a 237-page assessment of Greece's bailout agreement, as the country formally received its latest emergency loan payout, worth 4.2 billion euros ($5.4 billion).

Refill olive oil bottles in restaurants? Forget it, says EU. Too unhygienic and fraud-prone

The Canadian PressMay 17, 2013 09:15

BRUSSELS - The small glass bottle filled, and refilled, with golden olive oil has long been a staple on many restaurant tables across Europe. Now, the European Union is going to ban it. The European Commission, the EU's executive, said Friday that, as of next year, restaurant customers will only be allowed to use oil from non-refillable bottles with proper content labeling to douse their crusty bread or garden salad. EU spokesman Olivier Bailly said consumers often get fooled by being served cheap olive oil. Non-refillable bottles would also improve hygiene, he claims.

German and French leaders remain at odds over how to get European economy growing again

The Canadian PressMay 16, 2013 11:45

BERLIN - Germany and France recognize that their co-operation is key to overcoming Europe's persistent economic crisis, but comments Thursday by the leaders of the continent's No. 1 and 2 economies suggested they still have diverging priorities. French President Francois Hollande argued that the 17-nation eurozone should integrate more, calling for greater pooling in the long run of political and financial resources. He favours easing back on debt reduction measures to help the economy grow.

Austrian official inflation slows to 1.9%

Agence France-PresseMay 16, 2013 05:46

Inflation in eurozone member Austria slowed for the fourth month running in April to a 12-month rate of 1.9 percent, the lowest since November 2010, official data showed on Thursday. The drop was thanks to a 7.7-percent fall in petrol prices and a 8.4-percent slide for heating fuel, the national statistics agency said. Compared to March, consumer prices were unchanged, compared to a rise of 0.8 percent in March from February.

Asian stock markets mixed in holiday-thinned trading after US economic data disappoints

The Canadian PressMay 16, 2013 04:01

BANGKOK - Asian stock markets were mixed in holiday-thinned trading Friday as investors digested a slew of disappointing economic data and corporate results from the U.S. Applications for unemployment benefits jumped to their highest level in six weeks, the U.S. Labor Department reported Thursday, while manufacturing slowed in the mid-Atlantic region. The bright spot was applications for new construction, which reached a five-year peak, reinforcing "the patchy nature of the US economic recovery," Michael Hewson of CMC Markets said in a commentary.

European stocks fall as eurozone officially in its longest recession

The Canadian PressMay 15, 2013 18:30

PARIS - Weak economic data across the eurozone pushed European stocks lower Wednesday, as news hit that the 17-country currency bloc is now in its longest-ever recession. Europe's economic motor, Germany, returned to growth but still disappointed. Its gross domestic product rose 0.1 per cent in the first quarter of the year. That's less than the 0.3 per cent rise analysts were expecting. Meanwhile, the French economy, the bloc's second-largest, fell back into recession.