After a massive stimulus in 2009, the country may now be facing a credit squeeze.
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Big retail footfalls have been hurt by high rents, overcrowding of malls and a credit squeeze.
Because a credit squeeze raises market interest rates, it will slow the economy down.
When the ECB lengthened term loans it assisted addressing solvency and credibility, these actions simultaneously deterred a credit squeeze.
Declines in deposits, a majorsource of funds for banks to lend out, appeared to intensify a credit squeeze in many countries.
That leaves the Mittelstand, the mid-sized firms that are the backbone of Germany's export-driven economy, most exposed to a credit squeeze.
The beginning of a credit squeeze that caused interest rates to soar led to a decline in the two-wheeler market in the year to March 2008.
The central bank is trying to break the wage-price cycle by a credit squeeze but its efforts are being undermined by government spending on the war.
CDO, however, and in a credit squeeze they fall together, by virtue of being in the same murky structure, as investors rush for the exit or seek to hedge their risks.
What it doesnt mean is a mortgage backed securities crisis leading to the break up of numerous banks that are levered to the hilt and to a credit squeeze that causes layoffs of people thrown out of their homes by commercial banks and a massive number of foreclosures.
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What could complicate this is if, on the back of sovereign debt worries, we get a second credit crunch emanating from banks exposed to distressed countries, or a second credit squeeze (as per August 2007) when the interbank lending markets suddenly became tight.
And how will the onset of a global credit squeeze affect what private-equity groups can pay for a capital-intensive business with a time horizon of three to five years?
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Nonetheless, parts of the economy may still be caught in a genuine credit squeeze.
Financial-sector reform was essential, but the G-20 went too far: In seeking perfection, policy makers have delivered a profoundly pro-cyclical shock, resulting in a deflationary credit squeeze.
The drop in euro-zone inflation will be largely caused by disinflation in the peripheral economies, where fiscal austerity and a credit crunch will squeeze wages and prices.
The German export association BGA has warned of a "massive credit squeeze" by late summer while Business Europe, the region's main business lobby, told the European Central Bank that bank lending desperately needs to be improved.
Yet many in Germany are increasingly concerned that a looming credit crunch will squeeze lending to the country's middle-sized firms, throttling any hope of a rebound in growth next year.
Green Tree Financial found itself in a life-threatening credit squeeze because the market had lost faith in its mortgage-backed securities and refused to refinance its short-term debt.
Lewis, along with other bank bosses, faces investor leeriness about the credit squeeze and a possible recession.
Bernanke noted that financial markets remain under extreme strain and that the credit squeeze is a primary cause of the economic slowdown.
The Irish economy boomed in the decade until 2008, when it fell into recession as a result of the global credit squeeze.
Some now predict that the blow to Cyprus's financial sector, which accounts for about half of economic activity, combined with an existing credit squeeze, will send output into a tailspin.
Until the credit squeeze, Europeans could afford to take a relaxed view of an American slowdown.
The shake-out from the global credit squeeze led to the first run on a British bank for generations.
They have also raised the spectre of credit problems in a country that has so far been spared the worst of the global squeeze.
This should be kept uppermost in mind as central bankers respond to the credit crunch coming out of the so-called subprime squeeze (which is actually a worldwide risk-premium reset).
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