Description

The Western European economy is likely to recover at a very slow pace in 2013, as economic uncertainty continues to loom. The Government of France needs to focus on reducing the fiscal deficit, increasing tax on companies, and reducing public spending in Q1 2013. Germany has succeeded in maintaining a positive trade balance and this is expected to continue through 2013. In Italy, the contraction of growth and hike in interest rate will make the nation most eligible for a bailout in 2013. Spain’s growth sentiment for Q1 2013 is not optimistic due to high inflation, fiscal consolidation, and a sharp dip in housing and wealth. A decline in economic activity and lower commodity prices is expected to slow the mining sector in the United Kingdom.