Monetary dialogue with Mario DRAGHI, President of the European Central Bank :
- extracts from the statements
EP Committee on Economic and Monetary Affairs
Lieu: Brussels, Belgium - European Parliament
End production: 23/09/2013 First transmission: 23/09/2013
The economic crisis will be at the heart of this week EP’s agenda, as MEPs discuss the situation with Mario Draghi, president of the European Central Bank, on Monday afternoon and with Klaus Regling, head of the European Stability Mechanism, on Tuesday morning. Today Mr Draghi debated with members of the economic committee in his double capacity as ECB president and chairman of the European Systemic Risk Board (ESRB), the organisation created to help prevent a new financial crisis. The banking union and how to deal with failing banks have been the topics on top of the agenda.
Only the original language version is authentic and it prevails in the event of its differing from the translated versions.
||Exterior shot of the EP, Brussels
||Ambience shots before the meeting starts.
||SOUNDBITE (English) Mario DRAGHI, President of the European Central Bank: "Our two institutions share a common interest in a swift and effective implementation of banking union. The draft inter-institutional agreement ensures high standards of transparency and accountability, while safeguarding the protection of confidential information. We will continue working with a similar constructive spirit in the months ahead and hope that this will allow a swift set-up of the Supervisory Board."
||SOUNDBITE (English) Mario DRAGHI, President of the European Central Bank: "Measures of confidence and surveys of production have given some support to the view that euro area economic activity should continue its slow recovery in the current quarter, despite weak production data for July. Looking forward, economic activity should benefit from a gradual improvement in domestic demand, supported by the ECB’s accommodative monetary policy stance and strengthening external demand for euro area exports. However, unemployment in the euro area remains far too high, and the recovery will need to be firmly established."
||SOUNDBITE (English) Mario DRAGHI, President of the European Central Bank: "Monetary and, in particular, credit dynamics remain subdued. The annual rate of change of loans to the private sector and, notably, to firms weakened further in July. Weak loan dynamics continue to reflect the current stage of the business cycle but also heightened credit risk and the ongoing adjustments in the balance sheets of borrowers and lenders."
||SOUNDBITE (English) Mario DRAGHI, President of the European Central Bank: "The Governing Council has pledged to maintain monetary policy accommodative for as long as necessary. In order to re-affirm and clarify this conditional pledge, in a context of volatile money market interest rates, the ECB has introduced forward guidance in July, stating that it expects the key ECB interest rates to remain at present or lower levels for an extended period of time."
||SOUNDBITE (English) Mario DRAGHI, President of the European Central Bank: "We will maintain the degree of monetary accommodation warranted by the outlook for price stability and aim at promoting stable money market conditions."
||SOUNDBITE (English) Mario DRAGHI, President of the European Central Bank: "Over the past twelve months, confidence in the euro area has returned. As a consequence, fragmentation in euro area funding markets has been receding. This improvement owes not only to the ECB’s non-standard measures, but also to progress by governments in improving the euro area governance and in pursuing reform agendas."
||SOUNDBITE (English) Mario DRAGHI, President of the European Central Bank: "Europe has reinforced fiscal and macroeconomic surveillance, created a permanent crisis management mechanism, the ESM, and has improved its institutional framework. It is moving swiftly towards the Single Supervisory Mechanism (SSM) for banks in the euro area. A key priority of the agenda for the last quarter of 2013 is to complement it by a Single Resolution Authority and Single Resolution Fund as proposed by the European Commission."
||Cutaways (5 shots)