9 Jul 2014
ECB's Coeure: Sound fiscal policies are essential for growing out of debt
FXStreet (Łódź) - Speaking in Athens on Wednesday ECB Executive Board member Benoit Coeure said that the economic recovery in Europe was progressing at a moderate pace but that Member States shouldn't become complacent and should keep on implementing structural reforms.
The ECB policymaker emphasized the importance of sound fiscal policies as a means of overcoming excessive debt and called for the application of existing budget rules, instead of stretching them out "to the point at which they lose credibility."
Coeure stressed the need for more European integration and said that in the future, when the crisis is left well behind, "the convergence process could culminate in the transfer of certain budgetary responsibilities to the European level with a view to strengthening risk-sharing within the currency union."
Finally, Coeure suggested that the ECB was ready to implement more measures, if the June action was not enough, but he sees no signs of it being necessary for now.
"Coene gave the single currency the early boost and Coure took it away," Gerry Davies comments on FXBeat. " Early EUR/USD rally ran into aforementioned sell orders clustered art 1.3630/50 and we're presently back down at 1.3619."
The ECB policymaker emphasized the importance of sound fiscal policies as a means of overcoming excessive debt and called for the application of existing budget rules, instead of stretching them out "to the point at which they lose credibility."
Coeure stressed the need for more European integration and said that in the future, when the crisis is left well behind, "the convergence process could culminate in the transfer of certain budgetary responsibilities to the European level with a view to strengthening risk-sharing within the currency union."
Finally, Coeure suggested that the ECB was ready to implement more measures, if the June action was not enough, but he sees no signs of it being necessary for now.
"Coene gave the single currency the early boost and Coure took it away," Gerry Davies comments on FXBeat. " Early EUR/USD rally ran into aforementioned sell orders clustered art 1.3630/50 and we're presently back down at 1.3619."