By David Barwick
FRANKFURT (MNI) – The monetary policy of the European Central Bank
is accommodative and appropriate at the moment, ECB Executive Board
member Juergen Stark told a blogger in an interview conducted earlier
this week and posted to the web.
Stark, asked by FutureChallenges Blogger Emre Deliveli at the
Global Economic Symposion 2010 in Istanbul about economic developments
in Europe, said, “The economic situation has improved in the first half
of 2010. However, it will slow down, very likely slow down in the second
half of this year.”
He continued: “As far as the fiscal situation is concerned, like
all major advanced economies, also in the euro area — including the
peripheral countries — this is a real challenge, with high deficits and
high debt-to-GDP ratios.”
Asked if monetary policy is accommodative for peripheral countries,
Stark replied: “We do not pursue a monetary policy for individual
countries. This is not our task. We have to take into account the euro
area as a whole. And for the euro area as a whole, the monetary policy
is accommodative and it is appropriate.”
–Frankfurt bureau tel.: +49-69 720142. Email: dbarwick@marketnews.com
[TOPICS: M$$CR$,MGX$$$,MT$$$$,M$$EC$,M$X$$$]
