Sunday, January 25, 2015

ECB: Draghi, now governments to redouble efforts to reform – The Republic

ECB: Draghi, now governments to redouble efforts to reform – The Republic

MILAN – The governments of the eurozone countries need to redouble their reform efforts to create a “genuine” economic union. And ‘what writes the ECB president, Mario Draghi, in an article that will appear in the German periodical WirtschaftsWoche and which Reuters anticipates some passages. “By asking the governments, in the context of an economic union, to adopt structural reforms, it gives credibility to their actual ability to reduce debt through growth,” writes Dragons to two days after the launch of the program of ‘quantitative easing’.

Each Member State, Draghi writes, must be “in a position to benefit” from the common market “to attract capital and create jobs. For this we need structural reforms that promote competitiveness, dismantle bureaucracy and increase the adjustment capacity of labor markets. ” For this Dragons response to criticisms of the number one of the Bundesbank, Jens Weidmann, explaining that “a monetary policy oriented towards price stability in the eurozone, can not react to shocks that affect only one country or region.”

However, points out the number one Eurotower, an economic union is based on a common interest: “For this there are important arguments in favor of the joint operation of sovereignty in this area, as part of a genuine economic union. A more narrow, continues Draghi, will also allow better sharing of the risk in the private sector. “The sharing of risk”, warns the president of the ECB, “requires first of all a strengthening of the capital markets, in particularly the equity markets; for this we have to move forward quickly with the union of the capital markets. “

Arguments:
bce
quantitative easing
reforms
Eurozone
European Central Bank
Starring:
mario dragons

LikeTweet

No comments:

Post a Comment