Stournaras: ECB must cut rates twice before August
[ANA-MPA]
The European Central Bank must lower borrowing costs twice before its August summer break and two more times before the end of the year, without being swayed by the US Federal Reserve, Bank of Greece chief Yannis Stournaras has said.
Speaking to Bloomberg, he said: “We need to start cutting rates soon so that our monetary policy does not become too restrictive,” Stournaras said in an interview in London.
“It is appropriate to do two rate cuts before the summer break, and four moves throughout the year seem reasonable. Insofar, I concur with the markets’ expectations.”
He pointed out that more data will be available before the June meeting, providing a clearer picture of the economic situation.
