Standard and Poor’s have caused an uproar in Europe this week after reviewing 15 of the 17 eurozone countries with a negative outlook. Even triple AAA rated Germany is threatened, yet the country is tightening their belts.
All of Germany is tightening its belt. The country has made one golden rule in its constitution, that within 5 years, deficits will be strictly prohibited. Therefore, they need to take drastic measures. Swimming pools have been closed and only half the street lights are turned on at night in an attempt to save money. Switzerland French news station TSI
European banks are also under threat from the American rating agency S & P. Recapitalisation needs were revised upwards. This included Deutsche Bank which was in part due to its subprime loans. France 3