SINTRA, Portugal (Reuters) – The president of the European Central Bank reiterated his call on Friday for euro zone countries to reform their economies, warning that future growth would remain modest.
Easy financing should not stop reform, he said.
“It should … be clear that the argument that accommodative monetary policy constitutes an excuse for governments and parliaments to postpone their reform efforts is incorrect,” Mario Draghi said.
LONDON/FRANKFURT (Reuters) – The European Central Bank is under fire after one of its policymakers gave market sensitive information to an invitation-only conference attended by hedge fund managers, a day before his speech was publicly released.
Politicians and market participants criticised the ECB over the speech by board member Benoit Coeure, in which he said the central bank would accelerate bond buying under a programme aimed at averting deflation and helping to revive the euro zone economy.
LONDON/VIENNA (Reuters) – The European Central Bank’s bond-buying program is helping to revive inflation in the euro zone without drying up liquidity in the debt market, top ECB officials said on Friday.
The euro zone ended a four-month run of deflation in April as consumer prices held steady compared with a year earlier.
FRANKFURT, May 7 (Reuters) – With a deal to resurrect its
aid-for-reform programme elusive, Greece risks running out of
money in the coming weeks, raising the prospect of default and
capital controls to contain a run on its banks.
Officials in Athens are optimistic that the European Central
Bank will give it extra financial breathing space but unless
euro zone ministers reach a firm agreement to release further
loans such a move seems highly unlikely, people familiar with
the matter said.
ATHENS/FRANKFURT, May 6 (Reuters) – European lenders on
Wednesday dashed Greece’s hopes for a quick cash-for-reforms
deal in the coming days, leaving Athens in an increasingly
desperate financial position ahead of a major debt payment next
Talks between the two sides have dragged on for months
without a breakthrough and EU officials say Greece’s leftist
government has failed to produce enough concessions for a deal
at next Monday’s meeting of euro zone finance ministers.
ATHENS/FRANKFURT, May 6 (Reuters) – Greece made a small
interest payment to the International Monetary Fund on Wednesday
but European lenders dashed hopes for a cash-for-reforms deal
before a more crucial, bigger instalment Athens must pay next
Leftist Prime Minister Alexis Tsipras’ government sought to
shift blame on Tuesday onto the euro zone and IMF for a lack of
agreement in the three-month-old negotiations, charging that
each was setting different “red lines” on multiple issues from
pension and labour reforms to the primary budget surplus.
FRANKFURT, May 5 (Reuters) – Greek Deputy Prime Minister
Yannis Dragasakis meets European Central Bank President Mario
Draghi on Tuesday, as his government seeks financial breathing
room to prevent a default and stay in the euro.
Talks between Greece’s leftist government and its
international lenders are stumbling over disputes about pension
and labour reforms as the country edges towards a debt repayment
deadline to the IMF it will struggle to meet.
FRANKFURT (Reuters) – Lending in the euro zone increased for the first time in three years, the European Central Bank said on Wednesday, marking a new chapter in the bloc’s recovery after the launch of a massive money-printing program.
Lending across the 19 countries in the currency union rose by 0.1 percent on the year in March, giving hope that Europe, whose economy has trailed that of the United States, may finally be turning the corner.
FRANKFURT/NICOSIA, April 28 (Reuters) – Cyprus is ready to
react to any spillover from the crisis in Greece, the governor
of the island’s central bank said on Tuesday, adding the two
countries were decoupling in the eyes of international markets.
Chrystalla Georghadji’s written remarks, sent on Tuesday in
response to questions from Reuters, underline concerns among
Cypriot policymakers amid heightened uncertainty over Greece’s
future in the euro zone.
FRANKFURT, April 20 (Reuters) – The European Central Bank
cannot promise to fund Greece and its banks regardless of the
circumstances but is convinced it won’t leave the euro zone,
European Central Bank Vice President Vitor Constancio said on
Constancio also said that a default by a euro state has no
automatic impact for the nation’s banks.