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Christine Lagarde: Eurozone economy still needs help


April, 14 2021
watermark Economic news

In a speech on Wednesday, Christine Lagarde, President of the European Central Bank (ECB), said Europe's economy still needs support in the form of monetary and fiscal stimulus. And the regulator has no plans to remove these aid tools until full recovery is achieved.


Also, the head of the European Central Bank shared her vision of the impact of US policy on the EU economy. Lagarde noted that the US fiscal response will increase growth in Europe by 0.3% in the medium term, and the US impact on inflation in Europe will be 0.15%.


The head of the regulator also said she was amazed at how corporate and households adapted to the crisis. However, countries with a larger tourism sector are likely to take longer to recover. In addition, Lagarde stressed that the banking sector in the eurozone is «quite strong», however, one should still expect further bankruptcy of some institutions.


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Foreign exchange is highly speculative and complex in nature, and may not be suitable for all investors. Forex trading may result in a substantial gain or loss. Therefore, it is not advisable to invest money you cannot afford to lose. Before using the services offered by ForexMart, please acknowledge the risks associated with forex trading. Seek independent financial advice if necessary. Please note that neither past performance nor forecasts are reliable indicators of future results.