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Thứ ba, ngày 5 tháng 11 năm 2024
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Ngày 16/08/2011-20:01:00 PM
France to revise down 2012 growth target: paper
France was expected to revise down its growth forecast in 2012 following a stagnated growth rate in second quarter this year and eurozone financial crisis, according to local report on Tuesday.
"It is likely that it's needed to revise down the growth", the local business newspaper Les Echos quoted one source close to the Elysee as saying.
The European second largest economy France reported a stagnated growth over the second quarter in 2011 due to poor household consumption, fuelling fears that the country's economy is slowing more than expected.
French President Nicolas Sarkozy is due to meet the Prime Minister Francois Fillon "to outline the amount of savings," crucial to stick to budget deficit target set at 5.7 percent of the gross domestic product this year and at 4.6 percent in 2012, according to the report.
A Franco-German meeting is scheduled later on Tuesday with the focus on the eurozone debt crisis. Sarkozy and German Chancellor Angela Merkel are expected to come up with measures to restore confidence in the markets.
French shares CAC 40 fell in the morning session at the release of the unfavorable quarterly gross domestic product (GDP) figures of Germany. At 12:35 (1035 GMT), the index lost 1.39 percent to 3,193 points.
Early Tuesday, German Federal Statistical Office (Destatis) reported 0.1 percent GDP growth in the second quarter and revised down the first quarter growth rate to 1.3 percent from 1.5 percent.
German slowdown pulled down stock indexes in London and Frankfurt where shares fell by 0.77 percent and 2.24 percent respectively. The EuroStoxx erased last session's gains and was down by 1.43 percent.
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