ECB expected to leave rates on hold; German business confidence to slide again
Published:
17 June 2001 y., Sunday
An ECB meeting, Euro zone inflation figures and the latest survey on German business confidence get top billing in this week's look-ahead.
The European Central Bank, which sets interest rates for the 12 nations that form the euro zone, has been criticized for being slow to lower interest rates. Its moved just one time this year by a quarter point.
Stingy compared to the aggressive action by U.S. Federal Reserve and even the Bank of England, which has cut rates three times, to avoid a U.S.-led global economic slowdown.But inflation is well above the ECB's ceiling target of 2 percent. It hit 2.9 percent in April. And the May number is expected to be at least 3.3 percent
The Frankfurt-based central bank warned on Thursday inflation could gather pace to reach 2.7 percent for the year. The December prediction had anticipated a minimum year-on-year inflation rate of 1.8 percent.
The ECB is meeting this week. But the consensus is that it will not move on interest rates. Economic growth is forcast to grow between 2.2 and 2.8 percent in the euro zone for 2001, the ECB said. In December, the ECB had forecast growth could reach as high as 3.6 percent.
Šaltinis:
cnnfn.cnn.com
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
The European Commission launched "The ocean of tomorrow " call for research proposals. Oceans cover about 70% of the Earth's surface, but human activity is increasing environmental pressure on them.
more »
The EBRD is stepping up its support to the real economy in Georgia with new funds for on-lending to local businesses.
more »
Lithuania’s Ambassador to Germany and Special Representative for EU External Relations in the German Foreign Office discussed the situation regarding the decision of private credit insurance company in Germany Euler Hermes to apply the rating of a maximum risk country for Lithuania.
more »
Peter Reiniger Business Group Director for Central Europe and the Western Balkans from the European Bank for Reconstruction and Development visited Latvia to sign subordinated loan agreement with Parex banka.
more »
The European Commission has approved 16 programmes in 12 Member States to provide information on and to promote agricultural products in the European Union.
more »
New measures to help farmers through recession as milk prices tumble.
more »
Federal Reserve Chairman Ben Bernanke said the outlook for the long-suffering U.S. economy appears to be improving.
more »
The Swiss Government and the EBRD are providing €11.8 million to improve the supply of water to some 1 million people living in Bishkek, the capital of the Kyrgyz Republic.
more »
The Neighbourhood Investment Facility (NIF), a key instrument of the intensified European Neighbourhood Policy (ENP), will benefit in 2009 from a €70 million contribution by the European Commission.
more »
In response to the impact of the global crisis on the Romanian construction sector, the EBRD is supporting Lafarge Ciment (Romania) S.A. with a €20 million loan in Romanian lei to finance the company’s operations and to support its working capital requirements.
more »