Economics
Mario Draghi Sounds Economic Alarm for the Euro-Area
- ECB president cites persistence of geopolitical uncertainties
- Officials keep stimulus on hold even as growth outlook sours
This article is for subscribers only.
Mario Draghi intensified his warning on the challenges facing the euro-area economy, signaling the European Central Bank could be even more cautious about any withdrawal of crisis-era stimulus this year.
After holding off in December from fully downgrading his assessment, the ECB president finally caved on Thursday by saying the risks to growth “have moved to the downside.” That’s a significant change from six weeks ago, when he described the risks as “broadly balanced” and capped monetary support.