here is no credit crunch in Europe and the International Monetary Fund has been too pessimistic in its growth forecasts for the region, a senior Banque de France official said on Tuesday.
"Today in Europe there is no credit crunch," Jean-Pierre Landau, second deputy governor of Banque de France, told a European Parliament hearing on hedge funds and private equity.
Landau, speaking in a personal capacity, said the IMF growth forecasts for the euro zone and Europe were too pessimistic as they had taken into account risk from financial market turmoil.
"That should have been dealt with ... separately," Landau told the EU assembly's economic affairs committee.
The IMF has cut its estimate of euro zone 2008 economic growth, a source familiar with the matter told Reuters last week.
The IMF will say on April 9 that it now forecasts the economy of the countries using the euro to grow less than 1.3 percent this year, down from a previous forecast of 1.8 percent published in January, the source said.
Attempts through the use of securitisation to spread risk throughout the market in recent years have turned out less effective than thought and it has ended up concentrated in big banks, Landau said
http://www.reuters.com/article/privateEquity/idUSL0880701620080408
We have no credit crunch in France, that is why we have Jerome Kreviel ! He is in control of credit markets after messing up stock markets...
"Today in Europe there is no credit crunch," Jean-Pierre Landau, second deputy governor of Banque de France, told a European Parliament hearing on hedge funds and private equity.
Landau, speaking in a personal capacity, said the IMF growth forecasts for the euro zone and Europe were too pessimistic as they had taken into account risk from financial market turmoil.
"That should have been dealt with ... separately," Landau told the EU assembly's economic affairs committee.
The IMF has cut its estimate of euro zone 2008 economic growth, a source familiar with the matter told Reuters last week.
The IMF will say on April 9 that it now forecasts the economy of the countries using the euro to grow less than 1.3 percent this year, down from a previous forecast of 1.8 percent published in January, the source said.
Attempts through the use of securitisation to spread risk throughout the market in recent years have turned out less effective than thought and it has ended up concentrated in big banks, Landau said
http://www.reuters.com/article/privateEquity/idUSL0880701620080408
We have no credit crunch in France, that is why we have Jerome Kreviel ! He is in control of credit markets after messing up stock markets...
