BRUSSELS WATCH: More Confidence In EU Future, Economy - Survey

By Tara Oakes

     BRUSSELS (MNI) - Increasing numbers of EU citizens are confident in the

future of the bloc and their national economies, the latest Eurobarometer showed

Wednesday.

     The number of Europeans reporting that the state of their respective

national economy was currently "good" increased 5% since the last survey,

published in autumn 2016 -- but still only hit 46%, less than half of those

surveyed. The figures nevertheless represent a marked increase since spring

2009, when only 20% responded with "good".

     PORTUGAL

     Portuguese respondents represented one of the biggest jumps in national

economic confidence, leaping 18 points to 33%. While still below the EU average,

the increase reflects the improving economic conditions for the country, who

left the Union's Excessive Deficit Procedure on June 16. The European

Commission's recommendation that Portugal be allowed to leave the EDP came on

May 22, partway through the survey period of May 20-29.

     Although unemployment was still the key concern for those asked, increased

positivity for the country's future was evident from the 45% in Portugal who

said they believed the national economic situation would be "better" in the next

12 months, an 18% rise from the last survey and higher than the EU average,

which stood at 26%.

     GREECE

     Greece, who have also now exited the EDP, did not share Portugal's bright

vision of the future.

     A whopping 98% of those surveyed believed during the May questioning that

the economic situation of their country was "bad", a 1% increase since autumn

2016. Only 7% believed it would get better in the next 12 months, another 1% dip

from the last survey. 62% believed it would get worse.

     The Greek figures come from 1,010 responses and indicate a disparity

between the generally positive mood music from the EU on Greece after the latest

bailout approval and the situation on the ground for the Greeks themselves after

years of austerity.

     FRANCE

     France's figures showed a clear bump in economic positivity and pro-EU

sentiment following the election of President Emmanuel Macron. General

negativity about the current state of the economy lurked at a high 72%, but 38%

of respondents foresaw it getting better in the coming 12 months - 16% higher

than the last survey taken.

     Trust in the EU itself jumped most considerably in France of all member

states, rising 15 points to 41% -- in line with Macron's avowedly pro-European

stance. It was even higher as an average across member states, hitting 42%.

     UK

     The UK's distrust in the EU unsurprisingly lingered higher than the average

at 51%. This was still a 5% drop from the last survey, with the corresponding

rise not in those who said they trusted the bloc but in those who reported that

they "don't know".

     Confidence in both the UK's current and future economic situations both

took a knock as the country wrestles with Brexit negotiations. The next round is

set to start in the week beginning August 28.

--MNI Brussels Bureau; +44 203-865-3851; email: tara.oakes@marketnews.com

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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