The Director of the IMF's European Department on Wednesday welcomed in Rome "progress" made in economic reforms by the Italian Mario Monti, saying they were a "model" for Europe.

"Progress" made by Mr Monti on the last six months is "truly a model compared to progress in Europe," said Reza Moghadam, during a press conference at the end of the mission Annual Fund in Italy. According to him, "Italy is on track and has made remarkable progress over the last six months."

"It is not easy to remember that Italy was facing a very difficult and dangerous," he said, but added: "but the work is not finished. It takes more effort to encourage growth. "For his part Mr Monti also said that" much remains to be done to resolve the backlog for years and the structural weaknesses "." This is not the time of guard down, "he said

. Monti took the head of a technical government last November, replacing Silvio Berlusconi. He imposed a severe austerity to the Italians to avoid the financial strangulation in the country, awash in a huge debt. It also adopted a plan to liberalize the economy and a proposed market reform Labour, currently before Parliament

. However, the implementation of austerity measures has a significant cost: they have accentuated the recession and, by extension, the difficulties banks

.

The EC wrote in its economic prospects of the European Union biannual, that Spain should show a budget deficit of 6.4% of gross domestic product (GDP) in 2012 and 6.3% in 2013, unless you change the policies.

Madrid intends to reduce the deficit to 5.3% of GDP this year, against 8.5% in 2011 and, unless the finance ministers of the EU grant him more time to 3% in 2013, to save financial penalties. 

Even though the objective of the central government seems at hand, differences are expected at this stage for regional governments, the Commission explains in its report.

She added that the Spanish social security system is likely to remain in deficit this year due to the deteriorating outlook for the labor market.

The EU executive has revised sharply lower its forecast for GDP growth Spanish, now anticipating a 1.8% contraction in 2012, instead of 1.0% pre ; seen in February.

For 2012, the EC is planning a further contraction of economic activity, 0.3%, while the Spanish government is 0.2% growth. 

GROWTH FOR THE EURO AREA IN 2013

The EC believes that Spain will be the only country in the euro area to suffer a recession in 2013. She plans for the euro area as a whole increased by 1% next year, after contracting 0.3% this year.

"The recovery is in sight but the economic situation remains fragile, with still large disparities between Member States", said in a statement the European Commissioner for Economic and Monetary Affairs, Olli Rehn.

The combined fiscal deficit of the euro area would decrease to 3.2% of GDP in 2012, after 4.1% in 2011, and 2.9% in 2013.

"We're seeing an adjustment of fiscal and structural imbalances created before and after the crisis began and worsened by economic sentiment remains weak," says Rehn.

"Without new decisions energetic, low growth could persist in the EU. Sound public finances are a prerequisite for sustainable growth and, from an economic governance framework and strong again, we need to support the adjustment by accelerating the stability-oriented policies , and stimulation of growth "

. STAGNATION IN GREECE IN 2013

…… Regarding .. Greece, countries that initiated the crisis of sovereign debt in the euro area and now depends on funding from the EU and the International Monetary Fund, the EC expects zero growth in 2013, after contracting 4.7% in 2012, the fifth year of recession

. The budget deficit would fall to 7.3% of GDP in 2012 after 9.1% in 2011 but, unless Greece takes further steps to further reduce the die ; deficit, it goes back to 8.4% next year. 

Portugal, which, like Greece, depends on the help of international donors, will be close to meeting its deficit targets this year and next, with a deficit of 4.7% in 2012 and 3.1% in 2013.

The Portuguese economy would suffer a contraction of 3.3% in 2012, after contracting 1.6% in 2011, then record a growth of 0.3% in 2013.

Ireland, the third countries in the euro area to take advantage of the coupled EU-IMF to grow by 0.5% in 2012, after 0.7% in 2011, and 1.9% in 2013. Its budget deficit would be reduced to 8.3% of GDP this year, after 13.1% in 2011, and 7.5% in 2013.

The Spanish Conservative government, in a race to deficit reduction, adopted Friday a plan to save the very sensitive areas of health and education, hoping thereby generating 10 billion euros in savings per year. Measurement flagship health reform, which aims to save $ 7 billion and probably promised the greatest unpopularity: retirees will now pay for their medications. An ad against the tide of the election campaign of the government leader Mariano Rajoy, who promised this fall despite the crisis to maintain the purchasing power of retirees. But "this is an effort to seek" the people, "because there is no money to pay utilities," acknowledged Mr. Rajoy Thursday. And "Spain is the second largest consumer of drugs," explained the Minister of Health Ana Mato.

Last year, 3,700 tons of medicines, expired or unused, have been destroyed. Traditionally, Spaniards do not pay to go to the doctor and pay out a portion of the cost of drugs, except for retirees who do not pay them anything. Now the latter, which represent three quarters of the national pharmaceutical spending (11 billion euros, 1.1% of GDP), will pay 10% of the invoice in pharmacies, to a maximum of 8 to 18 euro months depending on their income. Assets, which previously paid 40% of drugs, settle up to 60%, depending on their financial situation.

Unpopular reforms

In education, the government hopes to recover 3 billion euros: it will allow regions to drive up the cost of university tuition by 50%, increasing from 1000 to 1500 euros on average, and increase 20% the number of students per class. The 17 Spanish autonomous communities are in fact the first concerned by this savings plan: they engulf 50% of public spending in Spain. Three-quarters of their budgets spent on health, education and aid to dependent persons. In recent months, many of them have struggled to pay their suppliers, causing discontent among pharmacists and cuts heating and electricity in schools and colleges.  

But in touching on sensitive sectors, the government has come under fire, including the Socialist Party, which has expressed its "rejection front" of this new austerity plan. In health this represents "a paradigm shift in the national system, to gradually deteriorate and seek to dismantle the public health system," said Trinidad Jimenez, responsible for health PSOE. "The government sets the stage for a healthy wealthy and another for the poor," added the consumer association Facua. As for measures for education, "no country has ever overcome an economic crisis by reducing the equal opportunities of his youth" in this area, responded the secretary general of the PSOE, Alfredo Perez Rubalcaba.

Both reforms are intended to enable regions to save 10 billion euros per year from 2013. According to a government source, "it also helps to share costs between the state and political areas." For the latter, which have already launched austerity measures in recent months, have all faced large popular demonstrations. Scrutinized by the government, they must submit by May remediation plans to reduce their budget deficit of 2.94% of GDP in 2011 to 1.5% in 2012. Those who do not comply will have their path set budget handled by the central state. The country as a whole twelve months to reduce by more than three points the deficit of 8.51% to 5.3% of GDP, and has already announced a budget, the most austere in its history, to recover 27.3 billion.

In Paris, in early trade, the CAC 40 gained 0.16% to 3,507 points. In Frankfurt, the DAX 30 is 0.4% to 7,104.83 points. In London, the FTSE advance of 0.2%. The pan-European index Stoxx 50.

The Fed chairman once again on Monday expressed concern about the long-term unemployment, but he questioned the idea that this problem is due to ; structural factors outside the scope of monetary policy.

The consumer confidence index calculated by the German research firm GfK is down at the approach of April, to 5.1, ending six months of gains, income expectations households being affected by rising fuel prices.

But the morale of French households is up against him for the month of March, returning confidence index five points. 

The Tokyo Stock Exchange is in turn mounted to its highest level since the earthquake and tsunami of March 2011, the Nikkei ended up 2.4%.

This is a serious blow to the culture of beer. British Prime Minister David Cameron said on Friday a series of measures, including an award minium of 40 pence per unit of alcohol, to fight against "binge drinking", drinking bouts which cost 2.7 billion pounds (3.2 billion euros) per year in public health service.

"The binge drinking + + accounts for half the consumption of alcohol in this country," said the Prime Minister. "My message is simple. We can not continue like this." It proposes to introduce a minimum price of 40 pence (50 cents) per unit of alcohol (10 ml of ethyl alcohol) sold.  

The measure will hit priority ciders sold cheap, strong beer and spirits sold off. For example, an extra strong beer that contains three units of alcohol would see its price from 75 pence to 1.20 pounds (1.40 euros). The strong cider, four units of alcohol, would almost double their price in almost two euros. The minimum price is to include the purchase of alcohol at bargain prices in supermarkets.

"Let's be clear, this will not affect the pubs," he told Mr Cameron. "A pint of beer contains two units of alcohol, if the minimum price is 40 pence per unit, the pint will not be affected." The government says the measure could even benefit the pubs, preventing supermarkets from selling at bargain prices. The government plans to prohibit the promotion of "two drinks for the price of one" and introduce a tax for pubs that open late, a way to offset the cost to ensure public safety in their neighborhood.

The culture of "binge drinking" has led last year by 1.2 million hospitalizations and a million crimes and crimes related to alcohol, according to official figures. The government intends to launch a consultation in the summer. Future legislation will apply in England.

Scotland is also considering a minimum price for alcohol. "We will launch a consultation, but a minimum price of 40 pence would result in 50,000 fewer crimes each year and 900 alcohol-related deaths averted annually by the end of the decade," said Mr. Cameron. The retail federation has protested vigorously. In contrast, associations fighting against alcoholism and the medical applauded the announcement.

At first glance, foreign investment has slowed down in France in 2011. 698 with the creation or extension of sites by foreign companies, foreign physical investments in our country have indeed decreased by 11% compared to 2010. And the number of jobs related dropped from 12% to 27,958. But the French Agency for International Investment (IFA) sees nothing to worry about.

These figures indicate it believes that France "did better than resist" in a difficult environment. In many projects, this is indeed the second best performance since ten years. And 17% of total European or second only to Great Britain. The Minister of Economy Baroin has meanwhile stressed that it was comparable to a 2010 "outstanding" and "recovery" after the 2009 crisis.

President of the IFA, David Appia, however, recognizes a small air pocket. "The sovereign debt crisis has affected the last quarter of 2011," causing "some restraint of foreign companies" some of which have postponed their investment decision, he said. But this decline would, however, more noticeable today. In other words, the attractiveness of France would not be threatened.

In fact, the amounts invested in France have increased by 18% to $ 40 billion last year, according to preliminary estimates by UNCTAD. This won him to occupy the 10th place worldwide, behind the United States (211 billion), China and Hong Kong (202 billion) or the UK (77 billion). Countries such as Brazil, Ireland, Russia and Belgium are also ahead. But not Germany (only $ 32 billion). Note that the figures for the Unctad include purely financial transactions such as mergers and acquisitions. The Afii, she focuses on physical investment.

Fewer new jobs

The most negative, finally, for job creation by foreign firms. For less than 28,000, France returns to the average for the period 1993-2011. A decrease is explained by the proliferation of small projects, the increasing share of projects in the software field (sector No. 1 selected by foreigners), relatively less intense in job creation, and by prudence investors in a difficult environment. A caution which reads in the fact that extensions of existing sites have tended to grow last year at the expense of setting creations.

Finally, foreign investment in France last year were the result of SMEs (28%) of intermediate-sized firms (34%) and large companies (39%). And they came, in overwhelming majority of developed countries: 60% from Europe, 25% in North America and 11% Asian. Four countries, Germany, the United States, Italy and Switzerland, were responsible for over half (52%) of these investments.

Particularly positive in the debate on the made in France, they focused on activities with high added value or high-tech and concerned for two-thirds the manufacturing sector (including machinery and mechanical equipment).

According to a poll published in parallel by the IFA, France would be considered attractive by 66% of international business leaders interviewed. A proportion that rises to 87% in China and 94% in India. Paradox as investments from BRIC countries, are among the most active in terms of direct investment abroad, are still a small minority. Only 6% of projects in France in 2011. This is particularly regrettable that apparently, once installed, the foreign bosses are even more convinced of the attractiveness of our country trusted by 82% of them.

Statoil has a 18.75% share, and sales to the Russian Lukoil will give a 75%. The remaining 25% is held by a public company in Iraq.

An agreement will allow the Russian company to become the only dealer outside of one of the largest oil projects in the pipeline in Iraq, while Norway will become the first major Western band to withdraw from an Iraq project in recent years.

"Statoil has reached an agreement with Lukoil to sell its stake in Kourna West 2 and the Iraqi Oil Ministry has approved the agreement," said a source from the Iraqi oil sector.

Another Iraqi source confirmed the agreement. "Statoil has sold its stake in Lukoil and Lukoil is now the sole operator of Kourna West 2", it was reported.

For its part, Statoil has simply said that the process was underway.

"Lukoil and the Iraqi authorities have previously confirmed that we had initiated a process to transfer shares of our project Kourna 2 West in Iraq," said a spokesman for Statoil. "We will when this process is completed," he added, without comment on the transaction amount or timing.

The Norwegian public company has been considering for some time to leave Iraq to refocus on less risky assets around the world, according to industry sources. Statoil plans to invest several billion dollars in deposits in the U.S. or offshore Norway.

The unemployment rate was 14% in the fourth quarter, announced the National Institute of Statistics, above the 13.7% projected in the program of international aid 78 billion euros.

In the third quarter of 2011, this rate was 12.4%.

Reform of labor law reduces redundancy payments for new hires to 20 days per year worked, against 30 before, and limits severance payments to 115,000 euros.

Heavily in debt, the publisher of printed directories and online, announced Wednesday he will propose to the unusually next general meeting of shareholders to pass the dividend for in 2011.

"The current market conditions are not particularly favorable (…) and therefore we consider that we must maintain maximum flexibility in the short term in our choice of financing options," said Jean-Pierre Remy. 

The shareholder of PagesJaunes, Mediannuaire, supports "full" this initiative is in no way representative of the political future of the group's dividend, he said ;.

The leader of the French group said he was "serene" about the group's ability to refinance the last installment of its debt, which matures in November 2013, while pre , specifying that the formal process had not yet been committed.

"The scenarios are very wide, very open. We want to give it time," said Jean-Pierre Remy, adding that the refinancing would likely over the next 12 months.

The government will review the tax on tobacco to reduce the effect "multiplier" of the social VAT on tobacco prices and avoid too large an increase of the cigarette package, officials said Saturday at Bercy.

The Ministry of Economy "is considering reducing the multiplier effect of the VAT hike on tobacco through a lowering of excise (tax collected by the State, Ed) on tobacco", it was indicated to the Department, confirming a report published on the website of Les Echos.

Besides the increase of 1.6 point VAT on 1 October, a 6% increase in tobacco prices in 2012. Due to the complex mechanism of pricing of cigarettes, the combination of these two boxes (one on taxation, the other on price, Ed) mechanically lead to an increase greater than 10% of the package.

At the announcement of the introduction of VAT social, tobacconists and manufacturers have alerted the authorities about the effects of this increase that threatens their marges.Bercy will reduce excises, to 63.28% as against 64, 25%, erasing "to nearly 90%" the VAT increase, according to Les Echos.

+ 2% from 1 October (6%)

"There will end up with a slight overall increase in taxes on cigarettes (0.13 points), corresponding more or less to the impact of the VAT hike in other sectors", according to the newspaper.

These figures have not been confirmed by Bercy which emphasizes that "the tobacco industry will contribute as much as other sectors". Les Echos report that "the margins of manufacturers fall moderately", without elaborating.

Ultimately, the VAT hike is expected to increase prices by 1.5% to 2% effective October 1, understands the quotidien.A this increase must be added the 6% pay increase for the fall at a date not yet known.