Europe Economics Update Car purchase incentives to provide only a limited boost Government incentives to buy new cars probably prompted euro-zone consumer spending to rise at the strongest rate in two years in Q2. But this boost will be partly reversed as the schemes are phased... 11th August 2009 · 1 min read
UK Economics Update Bank privatisation won’t prevent fiscal tightening Recent speculation that the Government may soon look to sell off its shares in some or all of the nationalised banks has raised the question of whether the proceeds from such sales might reduce the... 29th July 2009 · 1 min read
UK Economics Focus How do we get out of this fiscal mess? Getting the public finances back to a sustainable position within a reasonable timeframe is likely to require both sizeable tax increases and the tightest squeeze on public spending seen for... 28th July 2009 · 1 min read
Asia Economics Update The Philippines is leaving its past behind Yesterday’s debt rating upgrade from Moody’s was catch-up and long overdue but does at least acknowledge the increased resilience of the Philippine economy to global shocks and its likely higher long... 24th July 2009 · 1 min read
Europe Economics Update Italy’s budget plan unlikely to comfort markets In its blueprint for the budget law (DPEF in Italian) – the Italian Government reiterated its commitment to fiscal consolidation. Because of Italy’s huge public debt, this is a formidable challenge... 20th July 2009 · 1 min read
UK Economics Focus How will the policymakers respond to recovery? The markets have assumed that the initial and main policy response to a recovery in the UK economy will come from higher interest rates, and at a fairly early stage. But there are some good reasons... 6th July 2009 · 1 min read
Asia Economics Update India’s budget: Going for growth, cautious on reform India’s Federal Budget announced today focused on keeping GDP growth on its improving track. The budget deficit and debt issuance target are at the high end of market expectations. 6th July 2009 · 1 min read
Europe Economics Update German fiscal rule is not as damaging as it seems The German Government’s recent introduction of a law requiring a balanced budget from 2016 has prompted much debate over just how harmful it might be. Our view is that, while the law might place... 24th June 2009 · 1 min read
Emerging Europe Economics Focus Hungary: a step in the right direction, but more pain to come While the latest attempt at fiscal reform in Hungary is impressive given the dire economic backdrop, it is unlikely to prevent the country from turning to the IMF for additional funding next year... 15th June 2009 · 1 min read
Latin America Economics Focus How can Venezuela cope with the fall in oil revenues? The decision of Venezuela’s President Hugo Chavez to nationalise more than 60 firms last month, including a Spanish bank, is a clear response to the effect that the collapse of oil prices has had on... 4th June 2009 · 1 min read
Europe Economics Update Fiscal boosts do not come for free Fiscal austerity is a thing of the past. However, in its just-released Regional Economic Outlook for Europe the IMF stressed that, without a credible and sustainable strategy to ensure fiscal... 13th May 2009 · 1 min read
Europe Economics Focus Just how serious is the threat of a euro-zone default? With the euro-zone set to enter its worst recession in the post-war period, concerns about the prospect of a member state defaulting on its debt have rocketed and even prompted speculation of a euro... 23rd April 2009 · 1 min read
UK Economics Focus Budget 2009 - The tip of the iceberg This Budget was a holding operation which left the really tough decisions required to sort out the public finances to be taken by whoever is Chancellor after the next election. The tax increases and... 22nd April 2009 · 1 min read
UK Housing Market Update Property and the 2009 Budget - disappointment dominates This Budget was a holding operation which left the really tough decisions required to sort out the public finances to be taken by whoever is Chancellor after the next election. The tax increases and... 22nd April 2009 · 1 min read
