Extracts from the press conference by Mario DRAGHI, ECB President, following the ECB Governing Council meeting
Lieu: European Central Bank , Frankfurt
End production: 07/03/2013 First transmission: 07/03/2013
At today’s meeting the Governing Council of the ECB decided that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will 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.
||Arrival of Mario Draghi, ECB President
||SOUNDBITE by Mario Draghi (In English) saying that: We decided to keep the key ECB interest rates unchanged. HICP inflation rates have declined further, as anticipated, and fell below 2% in February. Over the policy-relevant horizon, inflationary pressures should remain contained. The underlying pace of monetary expansion continues to be subdued. Inflation expectations for the euro area remain firmly anchored in line with our aim of maintaining inflation rates below, but close to, 2% over the medium term.
||SOUNDBITE by Mario Draghi (In English) saying that: Later in 2013 economic activity should gradually recover, supported by a strengthening of global demand and our accommodative monetary policy stance. In order to support confidence, it is essential for governments to continue implementing structural reforms, to build further on the progress made in fiscal consolidation, and to proceed with financial sector restructuring.
||SOUNDBITE by Mario Draghi (In English) saying that: Of the increase in the outstanding volume of bank refinancing through the ECB’s monetary policy operations of around €500 billion between mid-December 2011 and early March 2012, about €200 billion have now been repaid. These repayments reflect improvements in financial market confidence over the last few months and receding financial market fragmentation.
||SOUNDBITE by Mario Draghi (In English) saying that: The euro area-wide general government deficit is expected to have declined from 4.2% of GDP in 2011 to 3.5% of GDP in 2012 and is projected to be reduced further to 2.8% of GDP this year. Governments should build on this progress with a view to further restoring confidence in the sustainability of public finances.
||General view of the press room