Euro Monitor 2012

The Allianz Euro Monitor, based on 14 indicators, measures macroeconomic imbalances in the eurozone. The results for 2012 show above all an encouraging picture for the peripheral countries.

Economy and labor markets in Europe

Structural reforms need more time than stimulus packages or consolidation measures to unfold their full impact on the economy. Nonetheless, the time needed for structural reforms to show initial successes is tolerable. 

Eurozone: How large is the need for external adjustment?

In addition to the need for government consolidation, the second major challenge facing a number of EMU countries is the reduction of external deficits. Some empirical analyses have reached the conclusion that countries like Spain, Greece and Portugal would have to achieve devaluation of anywhere in the region of between 20% and over 30% to arrive at a sustainable external position.

Scenarios for government debt in Europe

Almost two years since the outbreak of the government financing crisis in the euro area, the long-term debt sustainability of some member states on the area's geographical periphery remains clouded by uncertainty.

Scenarios on Greek government debt

Almost two years since the outbreak of the government financing crisis, Greece's long-term debt sustainability remains clouded by uncertainty.

Scenarios for government debt in Europe

The risk premiums that have to be paid by a number of EMU countries on the capital market remain stubbornly high. This is testimony to the market’s lack of confidence in these countries' ability to get to grips with their debt problems without the need for debt restructuring. It is not, however, just the financial markets, but also policymakers that seem increasingly convinced that Greece, at least, will have to restructure its debt.

European economy: Outlook 2011

The euro area economy initially bounced back only hesitantly from the economic crisis 2008/2009. However, Allianz assumes that economic growth accelerated markedly in the second quarter and will reach 1.5 percent this year and 1.7 percent in 2011. “The euro area economy is strong enough to cope with a gradual exit from expansionary fiscal policy. This economic tailwind will help overcome the debt crisis,” said Michael Heise, chief economist at Allianz.

Eurozone debt crisis: Impact on the economy

The euro area economy initially bounced back only hesitantly from the economic crisis 2008/2009. However, Allianz assumes that economic growth accelerated markedly in the second quarter and will reach 1.5 percent this year and 1.7 percent in 2011. “The euro area economy is strong enough to cope with a gradual exit from expansionary fiscal policy. This economic tailwind will help overcome the debt crisis,” said Michael Heise, chief economist at Allianz.

Lisbon strategy, Euro area economic outlook, and Greek debt crisis

This Working Paper takes a look back at our European Growth and Jobs Monitor and evaluates the proposals for a new reform agenda "Europe 2020". It also provides a snapshot of the economic outlook for the euro area and an assessment of the Greek debt crisis.