ECB confirms the recovery of the euro zone economy

ECB confirms the recovery of the euro zone economy



4/29/2017 0:00

Through inflation and interest rates
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Confirmed the European Central Bank Governor Mario Draghi said the economic recovery in the euro zone "is getting stiffer" and face less risk, pointing out that inflation in the 19 countries comprising the group, is still not high enough to raise interest rates.
Zero limit
has kept the ECB interest rate President at the zero limit for another month, as the Bank has decided not to change the stimulus program to buy bonds, which has already been reduced from 80 billion euros to 60 billion euros (51 billion pounds).
Economic confidence is at its highest level since the euro zone debt crisis, but inflation is still missing the goal of the European Central Bank for the fifth consecutive year.
Economic recovery
and drew the governor of the European Central Bank that rising consumer spending and wage growth and global economic recovery helped the economic recovery, adding that inflationary pressures " are still subdued," with prices rising dramatically earlier this year due to high energy costs.
He also expressed caution about the growth rate by saying: "The risks surrounding the expectations of the growth of the euro area suggests that while moving towards a more balanced situation , but it is still tilted to the downside."
The ECB has cut interest rate to zero president last year in a bid to stimulate economic growth and avoid deflation , or falling prices.
Buy bonds , the
bank said: It will continue to buy € 60 billion of bonds a month "until the end of December this year or later , if necessary." Analysts were anticipating any hints that the program of bond buying, known as quantitative easing, will be reduced. Said Paul Sarani , an analyst at Ackstrad: "Simply put, it seems that Draghi 's conservative center of this economic and political conditions unsatisfactory, although they are improving."
Said Ranko Berish, from Monieks Europe: "The bond buying program known as quantitative easing was found to remain at the present time."
The euro fell by about 0.5 percent against the dollar to less than $ 1.09, after it swung briefly at a higher rate after Draghi comments about the recovery of steel.
Economic growth has seen a rise in recent months with high employment rate and high economic sentiment this month to its highest level in 10 years.
However , inflation has dropped to 1.5 percent in the month of last March , shortly after the goal of the European Central Bank later in the month of February for the first time in four years.

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