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The European Central Bank is the central bank for Europe's single currency, the euro. Its main task is to maintain the euro's purchasing power.
22 May
(THREAD) Average inflation rates have declined and shown lower volatility in recent decades, says ECB Chief Economist Philip R. Lane. Common shocks, structural changes and monetary policy regimes have contributed to the observed high correlation of inflation across countries 1/5
Structural change associated with globalisation may have contributed to greater co-movement in headline inflation outcomes, but economic globalisation can also be a source of divergent inflationary pressures, especially during adjustment phases 2/5
The contribution of economic globalisation to higher inflation co-movements may differ between phases in which globalisation acts as anti-inflationary force and phases in which globalisation acts as pro-inflationary force 3/5
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18 May
(THREAD) In an interview with @LesEchos, @Corriere, @handelsblatt and @elmundoes, President @Lagarde discusses the eurozone’s economic recovery from the coronavirus and the action needed at European level to secure it ecb.europa.eu/press/inter/da… 1/8
Lagarde on the current crisis: The economic shock the eurozone is facing is huge – unprecedented in peacetime. We need to counter it with determination to help our economies recover as quickly as possible 2/8
Lagarde on the ECB’s mandate: Price stability is at the heart of our mandate. We must ensure there is as much accommodation as needed to stabilise inflation and the economy, and that our monetary policy is transmitted properly to all sectors and all eurozone countries 3/8
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12 May
To deal with the fall-out of the coronavirus pandemic, it is important that all countries are able to do enough, says Chief Economist Philip R. Lane in an interview with @telegraaf. An insufficient fiscal response by any country would make the shock worse (1/4)
Lane on the economic impact of the coronavirus: Our scenarios factor in a contraction of between 5% and 12% in 2020. We are now in the trough, but I expect the data to improve over the summer, even though people have now accepted that the virus will continue for some time (2/4)
Lane on coronabonds: They are about the joint issuance of new debt, not about the refinancing of old debts. Evidence indicates there would be strong demand for coronabonds from global investors and it would be a cheaper source of financing for many countries (3/4)
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27 Feb
[THREAD] In a speech in London at the launch of the UN Climate Change @COP26 Private Finance Agenda, President Christine @Lagarde discusses climate change-related risks for the financial sector. Read the full speech ecb.europa.eu/press/key/date… (1/7)
@COP26 @Lagarde Lagarde: Climate change constitutes a major challenge, causing both threats and opportunities that will significantly affect the economy and the financial sector. (2/7)
@COP26 @Lagarde Lagarde: Insurance and economic losses caused by climate-related events are likely to start trending upwards as a share of GDP. Banks, insurance and reinsurance companies need to consider the risks such events create. (3/7)
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31 Oct 19
(THREAD) With Mario Draghi’s presidency coming to an end today, we look back at the past eight years and some of the key themes from his time as ECB President (1/9)
COMMITTED TO THE CURRENCY: Mario Draghi’s term was marked by the financial crisis. He is said to have saved the euro with his famous words #whateverittakes. At a time of concern, his words reassured Europeans of the ECB’s steadfast commitment to the single currency (2/9)
A SUPPORTER OF MULTILATERALISM: Mario Draghi stressed that we must work together across national boundaries to respond to worries about fairness, safety and equality (3/9)
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15 Dec 18
(THREAD) Mario Draghi is speaking at the School of Advanced Studies @SantAnnaPisa in Italy today. With the euro turning 20 soon, he looks back at the creation of the Single Market and its benefits. Read on to find out more. Full speech here ecb.europa.eu/press/key/date… #EUROat20 1/9
Draghi: The Single Market is often seen simply as an expression of the globalisation process, which over time has even eliminated exchange rate flexibility. But the Single Market and globalisation are not the same thing. 2/9
Draghi: Contrary to the wider process of globalisation, the Single Market has allowed Europe to impose its values on economic integration – to build as free and just a market as possible 3/9
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6 Dec 18
(THREAD) How far have we come with European banking supervision? Where are we heading? Mario Draghi, Andrea Enria and others speak about these topics as we celebrate the legacy of Danièle Nouy, the first head of European banking supervision, whose term ends this month 1/7
At the very beginning, ECB Banking Supervision felt like a tiny start-up in a powerful incubator, says Danièle Nouy. Now, together with the national supervisors, we make up one of the largest banking supervisors in the world 2/7
European banking supervision was successfully built from scratch after other supervisory models had failed, says Andrea Enria, Chairperson of @EBA_News, who has been nominated to succeed Danièle Nouy 3/7
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31 Oct 18
(THREAD) Hi, I’m Louise. I work in digital content here at the ECB and I love #Halloween. I persuaded my colleagues to let me take over the ECB Twitter account briefly to do my worst on this topic ;-) 1/11
I bought this pumpkin the other day in my local supermarket in Frankfurt’s Nordend (a neighbourhood in the north of the city) and had a go at carving it. #Halloween 2/11
It cost me 5 euros. I thought this seemed a lot, but it is a huge pumpkin – I could barely carry it – so fair enough… #Halloween 3/11
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24 May 18
Financial stability conditions in the euro area remain favourable but risk-taking in most financial markets has intensified over the last six months. Read our press release on the latest Financial Stability Review to find out more ecb.europa.eu/press/pr/date/…
Watch: Vice-President Vítor Constâncio introduces the latest edition of the Financial Stability Review. Read the full report ecb.europa.eu/pub/fsr/html/i…
Watch: Constâncio talks about risks in the banking sector ecb.europa.eu/pub/fsr/html/i…
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11 May 18
(THREAD) Mario Draghi is speaking at #SoU2018 about how well-designed risk-sharing in the euro area would make our financial system and monetary union safer. Click on this thread to find out more or read the full speech ecb.europa.eu/press/key/date… 1/
Mario Draghi: We need a fiscal backstop to European banking resolution. This will create confidence that resolution can always be enacted efficiently. The aim is not to bail banks out – borrowed funds are repaid by the private sector. #SoU2018 2/
Mario Draghi: The dichotomy between risk-sharing and risk-reduction is, in many ways, artificial. With the right policy framework, these two goals are mutually reinforcing. #SoU2018 3/
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14 Mar 18
Speech Vítor Constâncio: Financial stability risks and macroprudential policy in the euro area ecb.europa.eu/press/key/date…
Constâncio: Monetary policy should not respond to financial stability concerns. The justifying argument for this stance is that macroprudential policy is now available and is the most effective tool for safeguarding financial stability.
Constâncio: Apart from a few pockets of vulnerability, the overall financial stability picture in the euro area reveals no signs of generalised asset market bubbles.
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