Index – Abroad – One of the largest European banks announced important news about the Eurozone
French investment bank BNP Paribas is encouraging its clients to invest in the UK rather than the eurozone.
the Telegraph According to his report The bank advises its clients that the British economy is more attractive than previously thought: the economy is performing better than expected, and in addition, the cheap pound and attractive sectors now make investing in British stocks more feasible.
The conservative newspaper claims this based on what the bank president said:
The outlook for UK stocks is not bad at all. (…) It has a lot of energy, materials, and many banks.
The bank president also believes that investing in the UK is a good thing because people are generally very pessimistic about British listed companies at the moment, which is why it is one of the cheapest investments in the world.
Economists at the French bank also believe that although the UK economy will enter a moderate recession in the first quarter of next year, they believe it is much more resilient than expected, and that the UK is currently performing better than the eurozone. The latter is also facing a greater recession, according to the newspaper.
Paul Hollingsworth, chief European economist at BNP Paribas, also spoke to The Telegraph, who said there was a lot of pessimism towards the UK, especially during Liz Truss’ demanding prime ministership, but since then we have seen the UK economy perform better than expected.
By the way, BNP Paribas is one of the largest European investment banks: the bank, which employs nearly 190 thousand people, has total assets of 2,500 billion euros.