Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  News  >  Economy & Forex  >  All News

News : Economy & Forex

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
All NewsEconomyCurrencies / ForexEconomic EventsPress releases

German advisers want tighter ECB policy, longer Brexit talks

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/08/2017 | 11:49am CET
The German government's panel of economic advisers present their recommendations for reforms to Chancellor Angela Merkel. in Berlin

The European Central Bank should wind down its asset purchases quickly and publish a strategy for normalizing its expansive monetary policy, a panel of economic advisers to the German government said on Wednesday.

In their annual report, the five-member German Council of Economic Experts who advise the German government on economic policy said the ECB's expansive monetary policy risks jeopardizing financial stability and creating market volatility.

Germans have led criticism of the ECB's bond-buying program, which was introduced three years ago to depress borrowing costs and reignite growth in the euro zone's heavily indebted southern periphery.

"In view of macro economic developments, the ECB should quickly reduce the purchases and end them earlier," group said in its report.

Last month, the ECB took a step towards weaning the euro zone off loose money but promised years of stimulus and even left the door open to backtracking. [nL8N1N132C]

Market interest rate developments "suggest the ECB should significantly tighten its monetary policy to adapt to macro economic developments", the group said, pressing the central bank to urgently publish a strategy for normalizing policy.

The German economy, Europe's largest, was heading for a "boom phase", the group added. They raised their forecasts for German economic growth to 2.0 percent this year and 2.2 percent next year.

However, the group identified a disorderly, so-called 'hard Brexit' as one risk that would hit Britain hardest but also create upheaval in the remaining 27 European Union member countries.

"The Council of Experts believes a one-off extension (of Brexit negotiations) that largely preserves the status quo would be sensible," the group added.

With the German economy in robust shape, the wise men urged the next government to tackle the looming challenges of demographic change and digitization rather than focusing on social welfare.

(Reporting by Paul Carrel and Joseph Nasr Editing by Jeremy Gaunt)

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news "Economy & Forex"
11:24a HMT UK HER MAJESTY TREASURY : Taxation (Cross-border Trade) Bill introduced in Parliament
11:20a China to step up property market regulation to avoid bubble risk
11:16aDJNEWS HIGHLIGHTS : Top Company News of the Day
11:16aDJNEWS HIGHLIGHTS : Top Global Markets News of the Day
11:11a Big spending building materials maker CRH on lookout for more deals
11:09a MACAU SPECIAL ADMINISTRATIVE REGION GOVERNMENT : Consumer Council conducts price survey on selling prices of fresh pork and vegetables from Zhuhai and Macao
11:09a MACAU SPECIAL ADMINISTRATIVE REGION GOVERNMENT : Consumer Council released its latest ‘Supermarket price survey’ Surveyed spots included 13 supermarkets in Santo António Parish
11:09a EUROPEAN COMMISSION DIRECTORATE GENERAL FOR MOBI : EU funding for alternative fuel deployment
11:09a EUROSTAT EUROPEAN UNION STATISTICAL OFFICE : SMEs in the European Union generate half of the intra-EU trade in goods
11:04a EPP : Consumer-friendly rules in digital the environment
Latest news "Economy & Forex"
Advertisement