Statement

Statement from 27 April 2017

“The ECB is right to stick to its present course”

DIW Berlin/B. Dietl (Copyright) Marcel Fratzscher
Copyright: DIW Berlin/B. Dietl

Marcel Fratzscher, president of the German institute for economic research, on today's meeting of the ECB council:

It is wise for the ECB to stick to its policy strategy and not let itself be impressed by criticism from Germany. The pressure from Germany for the ECB to end its expansionary policy stance prematurely has increased. The ECB is right to resist the pressure from Germany as the economic and financial risks for the euro area are still significant. The ECB is only gradually getting closer to meeting its price stability mandate as in particular core inflation is still too weak. The risks of a premature exit are still higher than the risks of a delayed exit. The question is not whether the ECB will end its purchase program before December 2017, but rather how quickly it can reduce its purchases next year. I am concerned about the ECB becoming instrumentalized by German politicians in the upcoming elections in order to stimulate an anti-European sentiment and to blame the ECB for domestic policy mistakes. It is wrong and detrimental of politicians to blame the ECB for Germany's excessive current account surplus.

Links

Audio statement | MP3, 1.17 MB

Lade Player...

Further statements here.

Press Office DIW Berlin

PhoneMobileE-mail
Renate Bogdanovic+49-30-897 89-249+49-174-319-3131
Claudia Cohnen-Beck+49-30-897 89-252
Sebastian Kollmann+49-30-897 89-250+49-162-105-2159
Matthias Laugwitz+49-30-897 89-153
Mathilde Richter+49-30-897 89-152+49-172-154-0646

Communications Management German Socio-Economic Panel Study (SOEP)

PhoneE-mail
Monika Wimmer+49-30-897 89-251