Wednesday, September 28, 2016

ECB chief Draghi: the one with The controversial course

ECB President Draghi is due to its financial policy again and again in the criticism. Also from Germany comes against the wind. But the Italian has learned to hold in difficult times course. Today, he visited the European Affairs Committee of the Bundestag.

to listen When he speaks to him all the. Some see in him the most powerful man in Europe, even as the “last European” – most probably but at least the chief architect on the Euro site. He is outwardly much more modest: “I am not an architect, often enough, just a simple bureaucrat.”

he also works often, with his smoothly combed hair, and the unspectacular Occur. But appearances can be deceiving: Draghi’s fight against the Euro debt crisis not as a bureaucrat, the only reacts to challenges. He is acting much more energetic than sometimes be hesitant predecessor Jean-Claude Trichet.

the Italians?

Draghi fights with equally bold and contentious strategies, the effects are mostly full. When he took over in 2011, the office of the President of the European Central Bank, there was Italian reservations: a, since the Inflation of the Euro is part of it soon. This prejudice, he has not confirmed. His declared goal is to able to

the Latter has become questionable – a debt is worth more than Saving. This earned him much criticism from Germany but from the Euro-States that can live with debt better now than in the past.

Schaeuble criticizes Draghi

Highly controversial Draghi’s extensive purchase programme of government bonds. The German Finance Minister, Wolfgang Schäuble, is not always by looking, that he holds this way of life for the. Recently at an award ceremony to Draghi. Schäuble was provided for the Eulogy. He held also. If he purchases from Draghi’s Bond on time would have known, “I would have thought this is likely to be different”.

With the financial of the southerners conduct Draghi is familiar. As the President of the Italian Central Bank, he added his Institute silent due to the crisis. The former Goldman Sachs Manager knows the psychology of the financial markets. As ECB chief, he had to hold but from the beginning of the Euro area as a whole and continues to do so today on radical measures: The key rate has been practically reduced to Zero, the tottering banking system with additional trillion in liquid.

the economy comes in, he forced the institutions, the money as cheap loans to pass on and not to Park pointless at the ECB. This pleased the EU Commission and many EU member States. The highlight: Draghi’s program of government buying bonds.

Euro-is for the time being, off the table

in Spite of all the financial problems in Greece, but also in Italy: from one end Of the Euro, no one speaks. The most Important thing is to save the Euro, would have to do other, says Draghi. With structural reforms in the Euro countries: “It is an appeal to the European leaders to enforce reforms to make the Euro more competitive and more resilient.”

Here he sees Germany as a role model, just in a particularly critical Moment in the history of the whole of the EU: “It is the Moment in which all should be back to identify common European interests, and also to enforce.” With other words: The Eurozone should not only economically, but also politically closer together.

As a crisis Manager, Draghi no longer sees itself in the meantime – in the meantime, he sees the crisis as a great opportunity. The Euro crisis could leave the Euro area politically closer together.

About this theme Germany wireless on 28. September, 2016 05:25 PM


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