Extracts from the press conference by Mario Draghi, President of the ECB, following the ECB Governing Council meeting
Type: Summary of press conference
End production: 10/01/2013 First transmission: 10/01/2013
On 10 January 2013, Mario Draghi, President of the European Central Bank (ECB), held a press conference following the ECB Governing Council meeting. He announced that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility would remain unchanged at 0.75%, 1.50% and 0.00% respectively.
Only the original language version is authentic and it prevails in the event of its differing from the translated versions.
||Mario Draghi, President of the European Central Bank (ECB), arriving (2 shots)
||SOUNDBITE by Mario Draghi (in ENGLISH) saying that based on the ECB's regular economic and monetary analyses, they decided to keep the key ECB interest rates unchanged; HICP inflation rates have declined, as anticipated, and are expected to fall below 2% in 2013; over the policy-relevant horizon, inflationary pressures should remain contained; the underlying pace of monetary expansion continues to be subdued.
||Cutaway of journalist
||SOUNDBITE by Mario Draghi (in ENGLISH) saying that following a contraction of 0.2%, quarter on quarter, in the second quarter of 2012, euro area real GDP declined by 0.1% in the third quarter; available statistics and survey indicators continue to signal further weakness in activity, which is expected to extend into 2013, reflecting the adverse impact on domestic expenditure of weak consumer and investor sentiment and subdued foreign demand; however, more recently several conjunctural indicators have broadly stabilised, albeit at low levels, and financial market confidence has improved significantly; later in 2013 a gradual recovery should start, as our accommodative monetary policy stance, the significant improvement in financial market confidence and reduced fragmentation work their way through to private domestic expenditure, and a strengthening of foreign demand should support export growth.
||Cutaway of journalists
||SOUNDBITE by Mario Draghi (in ENGLISH) saying that the economic analysis indicates that price developments should remain in line with price stability over the medium term; a cross-check with the signals from the monetary analysis confirms this picture; other economic policy areas will need to make further contributions to ensure a firm stabilisation of financial markets and an improvement in the outlook for growth; further structural reforms should be rapidly implemented to make the euro area a more flexible, dynamic and competitive economy; in particular, product market reforms to increase competition and competitiveness are essential, accompanied by measures to improve the functioning of labour markets.