Bloomberg the Company

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Follow Us

Industry Products

S&P Says Rising Euro Recession Risk Requires Government Action

Don't Miss Out —
Follow us on:

July 7 (Bloomberg) -- The increasing risk of a euro area recession heightens the need for the region’s governments to move quickly to implement last week’s agreement to unify regional bank regulation and give support to Spanish banks, Standard & Poor’s chief European economist said.

Deleveraging is “pushing towards recession and stagnation and the risk of a double dip has increased,” S&P’s Jean-Michel Six said in an interview in Aix-en-Provence, France. “Most economies are either in recession again -- such as Spain and Italy -- or very close to recession -- such as France and even Germany.”

To counter the slowdown, European governments should move as quickly as possible to implement an agreement by European leaders to counter the debt crisis, he said. “Execution is key,” Six said. The agreement “provides breathing space, let’s use it. We don’t have a lot of time, we have to act.”

To contact the reporter on this story: Caroline Connan in Aix-en-Provence, France at cconnan@bloomberg.net

To contact the editor responsible for this story: Mark Deen at markdeen@bloomberg.net