Bundesbank’s Weidmann Defends ECB Austerity Push, Journal Says

Bundesbank President Jens Weidmann defended the European Central Bank’s strategy to urge governments toward more fiscal austerity amid a deepening recession and political crises, the Wall Street Journal reported, citing an interview.

“The crisis can only be solved by embarking on often- painful structural reforms and following up on fiscal consolidation,” Weidmann told the newspaper. “If policy makers think they can avoid this, they will try to. That’s why the pressure has to be kept up.”

Weidmann said he he hasn’t seen “any convincing reason for myself to embark on a third” three-year refinancing operation, the Journal reported.

To contact the reporter on this story: Cornelius Rahn in Frankfurt at crahn2@bloomberg.net

To contact the editor responsible for this story: Kenneth Wong at kwong11@bloomberg.net

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