13 Jan 2015
ECB is ready to move to quantitative easing – ECB Makuch
FXStreet (Mumbai) - The European Central Bank (ECB) is ready for further measures such as quantitative easing, ECB governing council member Jozef Makuch told media on Monday. He also said that Europe would be able to deal with the exit of Greece from the euro zone, if Greece decides not to obey common rules.
Key Quotes:
"If measures that we talked about do not have an effect, the ECB is ready for further steps. From credit easing, or measures to support lending, if they are not successful, we have to move to quantitative easing; it is too early to say what that would entail, because the program has not been brought into life yet."
Addressing muted inflation concerns, "We do not expect that low price growth would change in the nearest quarters. On the contrary, we expect that it will be a long-term phenomenon,"
On Grexit fears, he added, "If there is a situation that a country does not want to observe the rules, it would probably be needless for us to insist on having 19 members,"
"The euro zone started with a different number and the number of member states increased gradually. Today it would be manageable if it potentially decreased as well,"
He continued, "it would not be a positive situation. Nobody is wishing for things to go this way. But now we are prepared to manage such a situation."
Key Quotes:
"If measures that we talked about do not have an effect, the ECB is ready for further steps. From credit easing, or measures to support lending, if they are not successful, we have to move to quantitative easing; it is too early to say what that would entail, because the program has not been brought into life yet."
Addressing muted inflation concerns, "We do not expect that low price growth would change in the nearest quarters. On the contrary, we expect that it will be a long-term phenomenon,"
On Grexit fears, he added, "If there is a situation that a country does not want to observe the rules, it would probably be needless for us to insist on having 19 members,"
"The euro zone started with a different number and the number of member states increased gradually. Today it would be manageable if it potentially decreased as well,"
He continued, "it would not be a positive situation. Nobody is wishing for things to go this way. But now we are prepared to manage such a situation."