Arab Today, arab today imf warns of doubledip recession threat italy hit by credit downgrade
Last Updated : GMT 19:22:09
Arab Today, arab today
Arab Today, arab today

IMF warns of double-dip recession threat, Italy hit by credit downgrade

Arab Today, arab today

Arab Today, arab today IMF warns of double-dip recession threat, Italy hit by credit downgrade

London - Dw

Italy was hit by a credit downgrade amid warnings of a double-dip recession in the eurozone from the IMF. The EU has defended Italy\'s austerity measures, but contagion fears remain in the bloc. Italian Prime Minister Silvio Berlusconi was quick to reject a long-feared assessment from ratings agency Standard & Poor’s that saw Italy’s credit rating downgraded by one notch on Tuesday. Berlusconi said the assessment \"seemed dictated more by newspaper stories than by reality and appeared to be negatively influenced by political considerations.\" In Brussels, the European Commission avoided criticizing the S&P downgrade. But the EU did support Italy’s austerity measures, saying the country would manage to pay off its sovereign debt by 2013. Last week, the Italian parliament approved a number of austerity measures, including higher taxes, pension reform and spending cuts which, it’s said, will reduce Italy’s deficit by more than 54 billion euros ($70 billion) over the next three years. Political reform Protesters in RomeItaly\'s austerity measures have sparked public protest EU Commission spokesman Amadeu Altafaj said he did not think the austerity measures would stunt Italy’s much-needed growth. \"Unfortunately, some member states cannot afford the luxury of expansive fiscal policies to support the economic activity,\" said Altafaj. \"In the case of Italy, the fiscal space is relatively small and it is very important that fiscal consolidation sets the ground for sustainable growth,\" he said. But the EU Commission spokesman did echo Standard & Poor’s belief that Italy needs urgent political reform. \"It is essential that the country pursues a bold reform agenda with comprehensive measures to tackle the deep-rooted structural weaknesses of the economy,\" said Altafaj, \"so, there is a clear need […] to implement an agenda of growth as a matter of urgency.\" Double-dip recession danger Chief IMF economist Olivier Blanchard Chief IMF economist Blanchard warns of \'dangerous new phase\' But so far Italy’s cuts have done little to inspire investor confidence. The credit downgrade caused nervous market reactions and German investor confidence was also at a three-year-low. European stocks ended 1.9 percent higher at 933.63 points, but investments were down and largely overshadowed by the latest World Economic Outlook report from the International Monetary Fund (IMF), which has signaled a \"dangerous new phase\" for the global economy. \"Markets have clearly become more skeptical about the ability of many countries,\" said IMF chief economist Olivier Blanchard, \"to stabilize their public debt.\"       The United States was among those countries to suffer a downgrade in the new IMF report, with gross domestic product growth estimated at 1.5 percent this year and 1.8 percent in 2012. A political gridlock in Washington - over how the US should handle its debt - and ongoing fears of contagion from Greece’s debt crisis are fueling insecurity, according to the IMF. Growth in the 17-nation eurozone was projected to slow by about a half point to 1.1 percent in 2012. The negative outlook for the US and Europe has raised the possibility of a double-dip recession. The IMF says if countries fail to keep their commitments \"the major advanced economies could fall back into recession.\"  

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today imf warns of doubledip recession threat italy hit by credit downgrade Arab Today, arab today imf warns of doubledip recession threat italy hit by credit downgrade

 



Arab Today, arab today
Arab Today, arab today Prepares to present her new collection

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection
Arab Today, arab today Tourism shows signs of recovery

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today 11 family members dead in rebel push

GMT 07:57 2017 Tuesday ,21 February

11 family members dead in rebel push
Arab Today, arab today To probe sexual harassment claims

GMT 10:08 2017 Tuesday ,21 February

To probe sexual harassment claims

GMT 14:57 2017 Monday ,20 February

A giant initial public offering on track

GMT 14:50 2017 Monday ,20 February

Energy Market Research

GMT 09:38 2017 Monday ,20 February

Japan returns to trade deficit in January

GMT 07:16 2017 Monday ,20 February

Global arms trade highest since Cold War

GMT 06:10 2017 Monday ,20 February

Tourism shows signs of recovery in Egypt

GMT 05:45 2017 Monday ,20 February

Brexit U-turn ruled out by many in EU
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today 57 monkeys carrying 'invasive' genes

GMT 16:00 2017 Tuesday ,21 February

57 monkeys carrying 'invasive' genes
Arab Today, arab today 63-Year-Old Woman Delivers Baby

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby
Arab Today, arab today Small ponds have outsized impact

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Competes Sweden and Germans by S90

GMT 22:36 2017 Thursday ,16 February

Competes Sweden and Germans by S90
Arab Today, arab today Ahmed Fahmy stresses he did not ignore singing

GMT 06:34 2017 Sunday ,19 February

Ahmed Fahmy stresses he did not ignore singing
Arab Today, arab today London to tax old cars

GMT 14:06 2017 Friday ,17 February

London to tax old cars

GMT 21:11 2017 Saturday ,18 February

Egypt to hold first session of Arab film festival

GMT 06:50 2017 Wednesday ,15 February

Tragic fluctuations of Bakhtiari's life revealed

GMT 19:10 2017 Friday ,17 February

Hats, scarves add beauty to women

GMT 20:41 2017 Wednesday ,15 February

Teach monkeys to recognize themselves in mirror

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 14:51 2017 Monday ,20 February

Ways to acquire presentation skills

GMT 19:16 2017 Friday ,17 February

Aziz House ready to host the tourists

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:39 2017 Monday ,20 February

newest smartphone another winner for Huawei

GMT 13:16 2017 Tuesday ,14 February

First fashion model with Down syndrome
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday