TNBiz (TNBiz)
Macroeconomics  |  September 08, 2010 09:31:01

Stark (ECB) Eurozone economic growth slows


Mediafax

WIESBADEN (MEDIAFAX) - Economic growth in the euro area as in other parts of the world probably in the second half of this year to slow down. He is member of the Executive Board of the European Central Bank (ECB) Jürgen Stark, reported on Wednesday night Reuters.

"We are satisfied with the current economic development, but as we mentioned, we see some risks to the outlook for the future," said Stark. The European Central Bank (ECB) left at the last meeting of the Monetary early September, its main interest rate to historic low of one percent. For this decision was a moderate economic growth and the euro zone inflation, which strengthened in July to 1.7 percent, remaining below the ECB's objective dvouprocentním.

Stark said the ECB is aware of the risks associated with leaving a long-term interest rates to historic lows. Member of the Executive Board believes that this is what could have negative consequences, and therefore it is necessary to prevent a similar situation. Some euro area countries due to high public debt is in a difficult situation, because, according to Stark's necessary to focus on consolidation of public finances.

Simone Radacicova, radacicova@mediafax.cz

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