“We remain optimistic”. In an exclusive interview with France 2’s political program “You Have the Speech”, Thursday June 4, the President of the European Central Bank (ECB) Christine Lagarde gave an update on the economic situation in Europe, which gradually comes out of containment.

“We remain optimistic because we know that today we are at the bottom of the crisis”, she said, saying that “the activity is starting again (…) We are slowly starting to go up the slope”.

She continues: “Our forecasts are very bad for this year: 8.7% which is the negative key figure for the year 2020. On the other hand, we go back into positive territory from 2021 and we will most probably find the economic level at the end of 2022 where we was when we entered this catastrophic crisis linked to the Covid-19 pandemic “, says the former boss of the IMF.

Asked about the massive indebtedness of European countries to cope with the shock, Christine Lagarde says “that there was no other option than to resort to borrowing to make fiscal stimulus”. It ensures that “The economy will start to start up again in terms of consumption, in terms of investment. It means growth. And the best answer to bring to an increase in debt is obviously growth”.

The European Central Bank was on the bridge in an extremely short time.

Faced with accusations from the NGO Greenpeace, which accuses the ECB of having injected more than $ 7 billion into fossil fuels, it defended itself, assuring that the “combating climate change and protecting biodiversity will be very important elements in the various modes of action that we have”, recalling in passing that the European Central Bank is “a large purchaser of ‘green bonds’, we are very active on this market there: we hold about 20% of the entire universe”.

LEAVE A REPLY

Please enter your comment!
Please enter your name here