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Inflation: Bruno Le Maire demeans the risk of an American contagion

2021-11-18T15:57:43.801Z


"There is no fear of automatic contagion of rising inflation in the United States to the European Union," said Thursday on ...


"

There is no reason to fear an automatic contagion of the increase in inflation in the United States towards the European Union

", said Thursday the Minister of the Economy, Bruno Le Maire, presenting to the Senate the draft budget for 2022.

Read alsoThe Senate retires "inflation compensation", in favor of "better targeted" measures

"

We have before us a prospect of dynamic economic recovery with France pulling the other countries in the euro zone

," he said.

"There are nevertheless risks"

Adopted on Tuesday at first reading by the National Assembly, the finance bill establishes the deficit forecast at 5% of GDP in 2022, with a negative balance of 155 billion euros. He expects growth of 6.25% in 2021 and 4% in 2022. Figures revised upwards Thursday morning by the OECD which now estimates that the French economy should grow around 6.8% this year and anticipates growth of 4.2% in 2022.

"

There are nevertheless risks

", recalled Bruno Le Maire, the first being "

the return of the pandemic

".

"

Today is the main risk, it depends on each of us and our sense of responsibility

."

"

The second risk weighing on French growth is the risk of a shortage of manpower and components, in particular electronic components and semiconductors

", according to the minister.

This adjustment will take time,

” he said.

Read alsoInflation: "Time bomb"

As for the "

third risk, the one that is debated a lot, it is that of inflation

", continued Bruno Le Maire. "

I want to confirm in this forum that our assessment is that inflation is temporary, that this inflation is mainly driven by energy prices,

" he said. "

I see the fears about what is happening in the United States: the American model is not the European model,

" said the minister.

"

Therefore, there is no fear of automatic contagion of rising inflation in the United States to the European Union,

" he said, believing that "it is

better to keep your cool on this very sensitive subject of inflation

”.

Inflation reached a 30-year high in October in the United States: + 0.9% compared to September, and + 6.2% over one year.

Source: lefigaro

All business articles on 2021-11-18

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