FRANKFURT (Reuters) – The banker now in charge of rescuing the euro wants his top staff to take Sundays off. Mario Draghi, president of the European Central Bank, eschews long meetings and refrains from lecturing his colleagues, senior ECB officials say.
Until Draghi took over a year ago, insiders say, the bank had a workaholic, micro-managed regime. But even as the Italian has proved ready to intervene in the markets and try policies that would have been unthinkable a few years ago, he has brought a freer, more hands-off culture to the bank.
FRANKFURT (Reuters) – The vice president of Germany’s Bundesbank has proposed setting limits for how much banks can lend to governments and backing such exposures with adequate capital to make them less reliant on taxpayers’ help in crisis times.
Sabine Lautenschlaeger, who is also a member of the Basel Committee on Banking Supervision which wrote the new global banking standards known as Basel III, told Reuters current regulation was setting the wrong incentives.
FRANKFURT, Dec 28 (Reuters) – The vice president of
Germany’s Bundesbank has proposed setting limits for how much
banks can lend to governments and backing such exposures with
adequate capital to make them less reliant on taxpayers’ help in
Sabine Lautenschlaeger, who is also a member of the Basel
Committee on Banking Supervision which wrote the new global
banking standards known as Basel III, told Reuters current
regulation was setting the wrong incentives.
FRANKFURT (Reuters) – Currency swap lines linking world central banks help make global banks more resilient in times of financial stress and protect American households and firms from the knock-on effects of such episodes, a top Federal Reserve official said on Monday.
Top central banks around the world last week renewed a series of currency swap lines set up during the 2007-2009 financial crisis, providing a precaution against future market strains.
FRANKFURT (Reuters) – The European Central Bank, poised to take over supervision of the region’s banks, said on Friday there was no room for complacency following early signs of easing strain on financial markets.
It urged governments to push ahead with reforms.
Tension in euro zone debt markets has eased since ECB President Mario Draghi pledged in July to do whatever it takes to preserve the euro but some risks prevail.
MANNHEIM, Germany (Reuters) – Morale among German analysts and investors improved sharply in December on the back of encouraging U.S. economic data, fanning hopes that Europe’s largest economy will avoid recession this winter.
The unexpectedly upbeat survey from the ZEW think tank on Tuesday followed data that has shown exports – the traditional engine of Germany’s economy – losing momentum, industrial output tumbling and unemployment nudging higher.
BRATISLAVA/FRANKFURT, Dec 7 (Reuters) – A European Central
Bank policymaker said on Friday the bank had had a “very
serious” debate about cutting interest rates this week and that
a cut was possible next year if the euro zone economy does not
The German and Austrian central banks separately suggested
such a pick up is unlikely, forecasting scant growth in their
economies in 2013.
FRANKFURT (Reuters) – The central banks of Germany and Austria on Friday forecast barely any economic growth in 2013, with the Bundesbank flagging risks of a recession in the euro zone’s biggest economy as the debt crisis hits the bloc’s core.
The Bundesbank expects Germany’s economy to grow just 0.4 percent next year, down from a June forecast of 1.6 percent. The new projection is marked by “a high degree of uncertainty”, it added, and “the balance of risks is on the downside”.
FRANKFURT, Dec 7 (Reuters) – Germany’s Bundesbank cut its
growth outlook for next year on Friday as the euro zone debt
crisis takes its toll on the bloc’s largest economy, but added
that the country would return to its growth path soon.
The move comes a day after the European Central Bank cut its
growth forecasts for next year pointing to weaker growth
prospects for the bloc’s core countries, such as Germany, France
and the Netherlands.
FRANKFURT (Reuters) – The euro zone economy is likely to shrink next year as it has in 2012, the European Central Bank predicted on Thursday, sharply downgrading its outlook after holding interest rates at a record low 0.75 percent.
The bank’s new staff projections put gross domestic product in a range of falling by 0.9 percent to growing by just 0.3 percent next year, suggesting contraction is far more likely than not. ECB President Mario Draghi said downside risks prevailed.