Downgrade UK, says French central banker

Christian Noyer, governor of the Banque de France, has called on rating agencies to downgrade the UK first ahead of France.

In an interview with French newspaper Le Telegramme, Noyer, who heads the French Central Bank, says rating agencies should downgrade the UK, which he says has a greater deficit, “as much debt”, higher inflation and less growth than France.

Noyer criticised rating agencies in the interview, saying that they had undermined positive sentiment from the European leaders summit.

He says: “Agencies have become frankly incomprehensible and irrational.”

France was one of several countries put on negative watch by Standard & Poor’s (S&P) in December and has found its coveted AAA status under threat of downgrade in recent months.

It was also the victim of an erroneous downgrade – which was later retracted – by S&P earlier this year.

For an english translation of Le Telegramme interview, click here.

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