Go Finance Report - Inflation in the European zone in December which is expected to penetrate quite dizzying 2.2 percent of the European Central Bank (European Central Bank / ECB). This of course has exceeded the upper limit of the ECB target for two years to target inflation below two percent.
With swelling inflation, the ECB increasingly confused with diverging trends eurozone economy to combat solvency crises by providing the supply of cash to commercial banks to guarantee loans 17 countries, and faced with the ability to maintain price stability.
As quoted by AFP on Monday (1/10/2011), food and energy prices that continue to crawl as a cause of inflation can not be regarded as something trivial because it is increasingly difficult for the ECB job to help the bank to strengthen its capital base to strengthen the financial reserves them.
Some economists expect inflation pressures this will place the short term, because most of the inflation comes from energy and food price hikes.
However, amid rising inflation as well, the economy of European giants such as Germany and France also proved capable of sustaining economic growth and the euro zone. In addition, there is also a commitment from the Chinese government to help the euro zone countries are entwined crisis.
Chinese Vice Premier Li Keqiang expressed the Chinese government's commitment to lend approximately six billion euros or equivalent to $ 7, 8 billion to Spain. China hopes Spain will soon recover from this economic crisis.
However, it would undoubtedly help China by Goldman Sachs economist Erik Nielsen, who assess the assistance China would provide a considerable political cost for the euro zone.
"It is not possible (help China). The cost of either implicit or explicit political will is too big for the European zone of the financial rescue of China," he said. (GoFinance)
No comments:
Post a Comment