This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-25135250
The article has changed 2 times. There is an RSS feed of changes available.
Previous version
1
Next version
Version 0 | Version 1 |
---|---|
France 'more pessimistic' on economy as confidence dips | France 'more pessimistic' on economy as confidence dips |
(about 5 hours later) | |
France is "more pessimistic" about the state of its economy than fellow eurozone countries, a European Commission survey has found. | France is "more pessimistic" about the state of its economy than fellow eurozone countries, a European Commission survey has found. |
French consumer confidence declined sharply in November, reflecting "worsening expectations about the future general economic situation, unemployment expectations and savings over the next 12 months", it said. | French consumer confidence declined sharply in November, reflecting "worsening expectations about the future general economic situation, unemployment expectations and savings over the next 12 months", it said. |
France's Economic Sentiment Indicator (ESI) score fell 0.9 points to 95.2. | France's Economic Sentiment Indicator (ESI) score fell 0.9 points to 95.2. |
But eurozone sentiment rose overall. | But eurozone sentiment rose overall. |
The ESI score for the 17 countries using the euro currency grew by 0.8 points to 98.5 in November, confirming the trend of steadily rising confidence, the Commission found. | The ESI score for the 17 countries using the euro currency grew by 0.8 points to 98.5 in November, confirming the trend of steadily rising confidence, the Commission found. |
But it warned: "While the upward trend observed since May has been preserved, the improvement in confidence has noticeably decelerated over the past two months." | But it warned: "While the upward trend observed since May has been preserved, the improvement in confidence has noticeably decelerated over the past two months." |
France is causing the most concern. | France is causing the most concern. |
'Limited progress' | 'Limited progress' |
Business activity in the region's second-largest economy shrank in November, as high labour costs and a lack of reforms hurt exports. | Business activity in the region's second-largest economy shrank in November, as high labour costs and a lack of reforms hurt exports. |
This came on top of news that its economy shrank in the third quarter of this year. | This came on top of news that its economy shrank in the third quarter of this year. |
While France had taken steps to cut its deficit to below the recommended 3% threshold, its structural reform plans were only making "limited progress", the Commission said earlier this month. | While France had taken steps to cut its deficit to below the recommended 3% threshold, its structural reform plans were only making "limited progress", the Commission said earlier this month. |
Ratings agency Standard & Poor's recently cut France's credit rating from AA+ to AA, reflecting concerns about the country's creditworthiness and high unemployment level. | Ratings agency Standard & Poor's recently cut France's credit rating from AA+ to AA, reflecting concerns about the country's creditworthiness and high unemployment level. |
S&P said it expected government debt to hit 86% of gross domestic product in 2015 and unemployment to remain above 10% until 2016. | S&P said it expected government debt to hit 86% of gross domestic product in 2015 and unemployment to remain above 10% until 2016. |
Unemployment battle | |
On Thursday afternoon, the latest unemployment figures from the French Labour Ministry showed that jobless claims fell back in October, offering some potential relief for President Francois Hollande. | |
Mr Hollande has recently appeared to step back from his commitment to reduce unemployment by the end of the year. | |
During a visit to Paris suburb on Thursday, he said: "It will be a battle, it's a battle that we have taken on, fought month by month." | During a visit to Paris suburb on Thursday, he said: "It will be a battle, it's a battle that we have taken on, fought month by month." |
The number of people registered as out of work fell by 20,500 in October, meaning 10.3% of people are out of work. | |
The total was 0.6% lower than the month before, but 6% up on the same period in 2012. French unemployment reached a peak of 11.2% in 1997. |
Previous version
1
Next version