Emmanuel Macron needs growth, says Moody’s

The election of Emmanuel Macron in France is a positive for the country’s creditworthiness but his presidency could yet come unstuck if it fails to deliver growth to help cut its large debts, Moody’s Investors Service has said.

The warning came as European stocks, which had rallied after the first round vote two weeks ago, held steady. After an initial surge, the euro slipped against the dollar and sterling.

“The ability of France’s policymakers to design, and successfully implement, policies which enhance growth and support fiscal consolidation over time will drive the trajectory of France’s rating and outlook over the medium-term,” said Sarah Carlson at Moody’s.