MarketLine Blog

Posts tagged to European Banking Federation

Brexit – the meaning of a messy divorce for the Euro area.

MarketLine

The lending channel between many industries and banks in the Euro area has been far from normal since 2008. This factor puts Britain in a better position to negotiate Brexit next year. The Euro area will embark on a period of further unprecedented slowdown by detaching itself from the world’s fourth largest economy. Credit to industries coming from the banking sector is key for the region to grow as the single currency area has a bank-based model as opposed to a capital market model. Debt financing to companies is largely… Read more

Euro Area Malaise

MarketLine

The pace of economic recovery in the Eurozone is yet to gain momentum. Real Gross Domestic Product, which is the gross income of the entire region, rose by 0.1% in 2013, following a decrease of 0.4% in 2012. However, according to the latest projections of the European Central Bank, “a gradual recovery in domestic and external demand is expected to be the driving factor behind the projected sustained increase in activity in 2014.” Let’s not forget that the financial crisis has had a permanent impact on the Gross Domestic Product… Read more