Draghi Says Emerging-Market Slowdown Poses Fresh Risk for Europe
- ECB ready to adjust size, duration, composition of QE program
- ECB chief says indebted countries must beware of higher rates
Tourists and the Grand Palace are reflected in the window as exchange rates are displayed on a board at a bank in Bangkok. “Developments surrounding the slower growth in emerging-market economies are posing renewed risks to the euro-area outlook,” Draghi said on Friday.
Photographer: Dario Pignatelli/BloombergSlowing growth in emerging markets and slumping commodity prices are posing fresh challenges to the euro-area economy, which may need to be countered by adjustments to quantitative easing, European Central Bank President Mario Draghi said.
“Developments surrounding the slower growth in emerging-market economies are posing renewed risks to the euro-area outlook,” Draghi said on Friday in a statement at the annual meetings of the International Monetary Fund in Lima. Even so, the region is proving “resilient” and headline inflation is expected to rise toward the end of the year because of base effects relating to energy prices, he said.