April 30 (Bloomberg) -- John Williams, the president of the Federal Reserve Bank of San Francisco, said he’s “very worried” about the risk of a worsening debt situation in Europe and the “worst is not yet over,” Handelsblatt reported.
It’s difficult for troubled European countries to return to normal economic performance when the business situation is weak and too many countries save money at the same time, Williams said in an interview with the German newspaper. That makes it more difficult to fight budget deficits and debt and European countries must find the “right balance” between austerity and growth, Handelsblatt cited Williams as saying.
The U.S. economy is likely to grow 2.5 percent this year and there’s currently no need for new monetary measures, Williams told the newspaper.
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