Back
6 Mar 2014
Draghi refrains from sending easing signals
FXStreet (Córdoba) - ECB President Mario Draghi refrained from giving easing signs at the press conference following the ECB Governing Council's decision to keep monetary policy unchanged at 0.25% in March.
Draghi reiterated the central bank's forward guidance of keeping interest rates at present or lower levels for an extended period of time and that ECB staff projections confirm that low inflation will remain low and then gradually move up towards the 2% target.
Inflation projections for 2014 were revised slightly downwards to 1% while GDP forecast was raised to 1.2%.
"Risks to the Eurozone growth outlook continue to be on the downside", Draghi said and urged EU national governments to continue implementing structural reforms to boost growth and employment.
In the Q&A part of the press conference Draghi says that even though unemployment in the Eurozone remains high, it has already stabilized. The situation in the Eurozone has generally improved since the last ECB monetary policy meeting.
On the topic of the crisis in Ukraine Draghi suggests the geopolitical tensions might grow further, but that the Eurozone shouldn't be overly affected.
Finally Draghi reiterated that the OMT program is ready to be activated should the need arise and that it falls within the ECB's mandate of pursuing medium-term price stability.
Draghi reiterated the central bank's forward guidance of keeping interest rates at present or lower levels for an extended period of time and that ECB staff projections confirm that low inflation will remain low and then gradually move up towards the 2% target.
Inflation projections for 2014 were revised slightly downwards to 1% while GDP forecast was raised to 1.2%.
"Risks to the Eurozone growth outlook continue to be on the downside", Draghi said and urged EU national governments to continue implementing structural reforms to boost growth and employment.
In the Q&A part of the press conference Draghi says that even though unemployment in the Eurozone remains high, it has already stabilized. The situation in the Eurozone has generally improved since the last ECB monetary policy meeting.
On the topic of the crisis in Ukraine Draghi suggests the geopolitical tensions might grow further, but that the Eurozone shouldn't be overly affected.
Finally Draghi reiterated that the OMT program is ready to be activated should the need arise and that it falls within the ECB's mandate of pursuing medium-term price stability.