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Draghi says money printing already helping


Mario Draghi: confident of Eurozone recovery

Mario Draghi: confident of Eurozone recovery

AFP/Getty Images

Mario Draghi: confident of Eurozone recovery

Bond-buying by the European Central Bank will reinforce the Eurozone's economic recovery, ECB boss Mario Draghi said yesterday.

He added that there was already evidence that the scheme was taking effect.

"Monetary policy is reinforcing the cyclical recovery. I insist in saying 'cyclical' because this recovery is not structural," he told a parliamentary committee hearing, in a reference to long-term problems such as unemployment.

Mr Draghi told lawmakers in Italy's parliament that recent data releases "are comforting about the contribution that monetary policy is supplying to reinforce the cyclical recovery". He said there has been a particularly noticeable effect in lowering the level of the euro against other currencies.

However Mr Draghi repeated his mantra that Eurozone governments had to do their part to boost productivity and growth by passing structural reforms to their economies and said that weakness in any one country hampered the entire bloc.

Irish Independent