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ECB’s Draghi: 'Strong recovery unlikely'
The euro zone economy is likely to remain stagnant in the short-to-medium term, European Central Bank President Mario Draghi said on Friday.
"Strong recovery is unlikely in the coming months," Draghi said in an opening speech at the Frankfurt European Banking Congress.
The ECB has launched a slew of measures to ease credit conditions in the region in order to boost growth and combat dangerously low inflation. These include cutting interest rates to record lows and announcing plans to purchase covered bonds and asset-backed securities (ABS).
However, speculation has been rife as to if and when the ECB will start a U.S -style sovereign bond-buying program.
Other big name speakers at the Frankfurt European Banking Congress include Jens Weidmann, the president of Germany's central bank. Weidmann is a known hawk on the ECB's Governing Council and has warned of the "dangerous path" that quantitative easing would lay
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