Mario Draghi urges patience as ECB keeps up stimulus
The eurozone still faces a number of risks, while inflationary pressures continue to be subdued, the ECB says
Frankfurt — European Central Bank (ECB) president Mario Draghi on Thursday called on Germany to be calm as the central bank keeps pumping stimulus into the eurozone, saying rising inflation would eventually bring higher interest rates for savers. "As the recovery will firm up, rates will go up as well," the ECB president said in Frankfurt on Thursday after the Governing Council reaffirmed its intention to keep its bond-buying programme going until at least the end of the year. Asked about German criticism of the strategy, he said "the honest answer would be: Just be patient". German Finance Minister Wolfgang Schaeuble earlier responded to the ECB’s decision by saying his government would face "political problems" explaining the policy to the public. A surge in headline inflation last month in his country, Europe’s largest economy, sparked a media outcry and calls for the central bank to pull back on its stimulus. "I trust the ECB will always do the right thing," Schaeuble said at th...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.