Spanish minister says all EU COVID-19 debt will be repaid

MADRID – Spanish Economy Minister Nadia Calvino said on Friday that all the debt issued by the European Union to help its member states deal with the consequences of the COVID-19 crisis will eventually be paid back. The debt will be sustainable as it will finance projects to help the EU resume the economic growth that was interrupted by the coronavirus crisis, she said in a virtual panel held by French think tank Cercle des…

"Spanish minister says all EU COVID-19 debt will be repaid"

Euro zone business slump eased in June as lockdowns relaxed

LONDON – The plunge in euro zone business activity caused by lockdowns imposed to stop the spread of the coronavirus eased sharply last month as more businesses reopened and people ventured out, a survey showed on Friday. Around 11 million people have been infected by the virus globally, but as the number of daily reported cases has fallen across much of Europe governments have loosened restrictions on people’s movement. To support ravaged economies the European…

"Euro zone business slump eased in June as lockdowns relaxed"

Taking EU helm, Germany’s Merkel calls on Europe to show resolve

BERLIN/BRUSSELS – German Chancellor Angela Merkel has urged European Union leaders to reach agreement on a multi-billion euro coronavirus recovery fund, calling for resolve and saying Europe was facing the most difficult situation in its history. Echoing Merkel’s urgency as Germany took the helm of the bloc, the EU’s chief executive Ursula von der Leyen joined the chancellor via video link to warn that the next six months were crucial after the region reacted slowly…

"Taking EU helm, Germany’s Merkel calls on Europe to show resolve"

Merkel says EU must agree on recovery fund, finances in summer

BERLIN – European Union states must secure a deal over the summer on a recovery fund to help economies hardest hit by the coronavirus crisis, Chancellor Angela Merkel said on Thursday, a day after Germany assumed the bloc’s presidency. “We are clear where the difficulties are but we all know it would be good if we agree in July. If we need more time it would be a less good variant,” she said, also referring…

"Merkel says EU must agree on recovery fund, finances in summer"

EU banks to take on Visa, Mastercard with new payments system

LONDON/PARIS – Sixteen banks from Germany, France and three other euro zone countries on Thursday said a “truly European” payments system was expected to be up and running in 2022 to fully digitalise a region where half of all retail payments are still in cash. European Union policymakers and central bankers have long sought a “home grown” rival to take on Mastercard and Visa from the United States, and more recently tech giants like Alipay…

"EU banks to take on Visa, Mastercard with new payments system"

Fearing an election loss, Trump allies push him to be less polarizing

WASHINGTON – Some of President Donald Trump’s Republican allies are urging him to ditch his divisive messaging and outline a clear vision for a second term, fearing his handling of a series of crises has dimmed his re-election hopes. With four months to go before he faces Democrat Joe Biden in a Nov. 3 U.S. election, Trump’s opinion poll numbers have sunk as he struggles to manage the coronavirus pandemic, economic woes and protests over…

"Fearing an election loss, Trump allies push him to be less polarizing"

Euro zone factory downturn eased in June as lockdowns loosened

LONDON – The downturn in euro zone manufacturing was not as bad as initially thought last month after more economies in the bloc eased restrictions imposed to quell the spread of the coronavirus, a survey showed. Over 10 million people have been infected by the virus globally and more than 500,000 have died, leading governments to impose lockdowns and force businesses to temporarily close and citizens to stay at home. But with transmission rates falling…

"Euro zone factory downturn eased in June as lockdowns loosened"

ECB sees slow post-virus recovery, will adjust PEPP aid to situation: Schnabel

LONDON – The European Central Bank can adjust its COVID-19 crisis measures depending on how financial markets adapt to what is likely to be a slow economic recovery from the pandemic, one of the bank’s top policymakers said on Tuesday. Speaking in an Institute of International Finance (IIF) online conference ECB Executive Board member Isabel Schnabel said that the eurozone economy was not expected to recover to it is pre-virus size until 2022 as the…

"ECB sees slow post-virus recovery, will adjust PEPP aid to situation: Schnabel"

Is UK heading to no-trade-deal Brexit? Banks assess risk

LONDON – Britain and the European Union remain far apart in negotiations on a new trading relationship and analysts at many banks say the risk of a no-trade-deal Brexit at the end of the year is firmly back on the table. Talks are being held this week in Brussels but Britain’s refusal to extend the end-2020 deadline has increased pressure to reach a deal by then or be cast adrift without any trading arrangements in…

"Is UK heading to no-trade-deal Brexit? Banks assess risk"

Anaemic euro zone inflation unexpectedly ticks up

BRUSSELS/FRANKFURT – Euro zone inflation unexpectedly rose in June but underlying price pressures dropped again, underscoring fears that consumer price growth will remain anaemic for years as the bloc recovers from the biggest recession in living memory. Annual inflation in the 19 countries sharing the euro accelerated to 0.3% in June from a four-year low of 0.1% in May, beating forecasts for no change and supporting the European Central Bank’s expectation that a negative reading…

"Anaemic euro zone inflation unexpectedly ticks up"