: Moody's has downgraded the debt of BNP Paribas, Societe Generale, and Credit Agricole - warning their creditworthiness is being damaged by the fragile operating environment for European banks. "The probability that the will face further funding pressures has risen in line with the worsening European debt crisis." The agency cut its ratings on the long-term debt of BNP and Credit Agicole by one notch to Aa3, concluding reviews that began in June and were continued in September. Societe Generale's long-term debt was cut by one notch to A1. The downgrades were driven by the increasing difficulties the banks were having in raising funding and the worsening economic outlook, Moody's said. The news comes a day after the European Banking Authority (EBA), warned the region's banks must find €114.7bn of extra capital in order to withstand the euro zone debt crisis and restore investor confidence. Moody's said its ratings did take into account the fact that all three French banks were likely to benefit from state support if the crisis deepened. "Liquidity and funding conditions have deteriorated significantly ," said Moody's, adding that the banks have historically relied on wholesale funding markets.
Access Investments-Building Awareness - European Union-ROMANIA
Friday, December 9, 2011
A bit sarcastic !...but realistic
Well : Do to the tremendous success of the summit : Moody's has downgraded the debt of BNP Paribas, Societe Generale, and Credit Agricole - warning their creditworthiness is being damaged by the fragile operating environment for European banks. "The probability that the will face further funding pressures has risen in line with the worsening European debt crisis." The agency cut its ratings on the long-term debt of BNP and Credit Agicole by one notch to Aa3, concluding reviews that began in June and were continued in September. Societe Generale's long-term debt was cut by one notch to A1. The downgrades were driven by the increasing difficulties the banks were having in raising funding and the worsening economic outlook, Moody's said. The news comes a day after the European Banking Authority (EBA), warned the region's banks must find €114.7bn of extra capital in order to withstand the euro zone debt crisis and restore investor confidence. Moody's said its ratings did take into account the fact that all three French banks were likely to benefit from state support if the crisis deepened. "Liquidity and funding conditions have deteriorated significantly ," said Moody's, adding that the banks have historically relied on wholesale funding markets.
: Moody's has downgraded the debt of BNP Paribas, Societe Generale, and Credit Agricole - warning their creditworthiness is being damaged by the fragile operating environment for European banks. "The probability that the will face further funding pressures has risen in line with the worsening European debt crisis." The agency cut its ratings on the long-term debt of BNP and Credit Agicole by one notch to Aa3, concluding reviews that began in June and were continued in September. Societe Generale's long-term debt was cut by one notch to A1. The downgrades were driven by the increasing difficulties the banks were having in raising funding and the worsening economic outlook, Moody's said. The news comes a day after the European Banking Authority (EBA), warned the region's banks must find €114.7bn of extra capital in order to withstand the euro zone debt crisis and restore investor confidence. Moody's said its ratings did take into account the fact that all three French banks were likely to benefit from state support if the crisis deepened. "Liquidity and funding conditions have deteriorated significantly ," said Moody's, adding that the banks have historically relied on wholesale funding markets.
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the EPP Group welcomes the agreement in Council and deplores the isolation of the British. Joseph Daul MEP, Chairman of the EPP Group
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"I welcome the political will demonstrated last night by the majority of Member States and I deplore the fact that the United Kingdom in particular prevented an agreement within the Community framework", said the Chairman of the EPP Group.
"My Group will work with the European Council and the European Commission to ensure the rapid implementation of the agreement, while ensuring that the European Institutions fully play their role as guarantors of European interests. The European Parliament in particular should see its role of ensuring the democratic legitimacy of the new Treaty guaranteed."
"The future of 500 million Europeans cannot be taken hostage by purely national interests. I welcome the spirit of responsibility and solidarity shown by the countries - both within and outside the Euro+ zone - who have expressed their intention to sign up to this agreement", concluded Joseph Daul.
(Translation from the original French)
le Groupe PPE salue l'accord au Conseil et déplore l'isolement britannique. Joseph Daul, MdPE, Président du Groupe PPE
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"Je salue la volonté politique demontrée cette nuit par la très grande majorité des Etats européens, et je déplore que le Royaume-Uni, en particulier, ait empêché un accord dans le cadre communautaire", a declaré le Président du Groupe PPE.
"Mon Groupe travaillera avec le Conseil européen et la Commission européenne à la mise en oeuvre rapide de l'accord, en s'assurant que les Institutions européennes jouent pleinement leur rôle de garants des intérêts européens. En particulier, le Parlement européen devra se voir garanti son rôle de légitimité démocratique du nouveau Traité".
"L'avenir des 500 millions d'Européens ne saurait être pris en otage par des intérêts purement nationaux, et je salue l'esprit de responsabilité et de solidarité dont font preuve tous les Etats qui s'associent à cet accord, dans et hors la zone euro+", a conclu Joseph Daul.
Elmar Brok MEP
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The EPP Group in the European Parliament has welcomed the European Council's decisions on tightening up fiscal rules for the Eurozone. "Stricter rules will strengthen the credibility of the Euro countries and their capability to act on the markets", said the EPP Group Spokesman on Foreign Affairs, Elmar Brok MEP.
He regretted that no joint EU-27 approach to amend the existing Lisbon Treaty had been possible due to "unrealistic and unfair demands" on the part of the United Kingdom.
To ensure that the provisions of the future 'Euro Treaty' become reality, Mr Brok suggests to also implement them in the protocol on the excessive deficit procedure of the existing Lisbon Treaty. "We need a two-fold approach to avoid ratification risks."
The EPP Group MEP said that the new Euro Treaty must not split Europe. "It is vital that as many countries as possible participate. And it is indispensable to remain within the existing Community Institutions and not to build new structures. Only then can we believe that the champions of the said new Euro Treaty do not have an intergovernmental Europe in mind which would mean less capability to act."
"The new Euro Treaty must be drafted in a way that it can be integrated into the existing Lisbon Treaty at any time", Brok concluded.
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