ECB’s Knot: Low interest rates look 'quasi-permanent'

In an interview published in a Dutch daily on Monday, the European Central Bank (ECB) Governing Council member and Dutch central bank head Klass Knot hinted that Interest rates in the Eurozone look set to stay low for a long time.

Key Comments (via Reuters):

The ECB's decision last week has shown that the low-interest rates are not exactly of a temporary nature, but rather becoming a quasi-permanent phenomenon.

But low-interest rates are not the result of monetary policy alone.

The interest rate drop over the last decades has to do with structural factors. We save a lot, but invest less. So, yes, monetary policy does have an impact, but it is definitely not the dominant factor.