Central bankers / -Nowotny (ECB) pleads for the issuance of "eurobonds"

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PARIS, February 21 (More Bank) – Key Statements
responsible for the European Central Bank since the last
January 24 monetary policy meeting:
    
    * NOWOTNY PRONES "EUROBILLS" IN PRELUDE TO "EUROBONDS"
    21 February – The European Union (EU) must issue
joint borrowings to support its plan to unite
capital and to strengthen the euro, said Thursday Ewald
Nowotny, the governor of the Austrian central bank.
    Europe needs "some form of eurobonds" and
should start by issuing "eurobills", securities
shorter maturity than the bonds guaranteed by the
Member States.
    Speaking at a conference in Brussels, Ewald
Nowotny, Member of the Governing Council of the Central Bank
European Central Bank (ECB), said that common loans
the European Union would be considered by investors
foreigners such as China as more interesting than
national loans issued by one of the Member States.
    
    * NOWOTNY SEES NO NEED FOR NEW LIQUIDITY
    February 21 – New liquidity measures are not
needed, Council member Ewald Nowotny said on Thursday.
Governors of the European Central Bank (ECB),
the day after the remarks of the chief economist Peter Praet leaving
hear that any new long-term loan program
The banking sector may not be as generous as the
previous.
    Banks in the euro area, particularly in Italy and
Spain are approaching with concern the deadline on the
2020-2021 period of loans amounting to 739 billion euros
obtained in the last round of Targeted Operations
long-term refinancing (TLTRO).
    No decision to extend this facility has yet
been taken, said Ewald Nowotny in an interview with the magazine
Trend. "Given the slowdown, there will be a debate over whether
we must continue (…) standardization. Personally,
I do not see the need for new liquidity. "
    
    * REHN RECOMMENDS THAT THE ECB KEEP ALL READY
EVENT
    February 21 – There is still no sign of a recession in
Eurozone but the European Central Bank (ECB) needs to
prepare to do whatever is necessary in the event that the
situation would worsen, Olli Rehn, a member of the
Governing Council of the Central Bank.
    The Governor of the Bank of Finland has said that
latest economic statistics, especially indices
Purchasing Managers suggested a slowdown in
growth in the eurozone but not a recession.
    "We have to be ready in case things turn out
wrong and then the answer will be that we will do everything he
will be necessary as part of our mandate, "he said at a meeting
conference.
    
    * ECB TO DISCUSS SOON NEW LOANS TO
BANKS-PRAET
    20 February – The European Central Bank will discuss "very
soon "the possibility of a new salvo of long-term loans
term to the banking sector, said Wednesday its leader
Economist Peter Praet, implying that this new
ease might not be as generous as the previous one.
    Banks in the euro area, particularly in Italy and
Spain, are approaching with concern the deadline
2020-2021 loans amounting to 739 billion euros obtained
as part of the latest round of Targeted Operations of
long-term refinancing (TLTRO).
    Peter Praet's comments suggest that a new series of
ready will be discussed at the next meeting of the ECB on 7
March. But a decision, especially on their modalities, could
to wait.
     "The discussion will take place very soon in the Council of
Governors. That does not mean we will make decisions
(…) at that time, "he said at a conference in
Frankfurt.
    Developed:
    
   * THE RISE IN RATES WILL DEPEND ON THE DURATION OF THE
SLOWING-VILLEROY
    17 February – The moment when the European Central Bank
(ECB) could decide on a first rate hike
of interest since the 2008 crisis will depend on the duration of the
economic slowdown at work in the euro area, declares
the Governor of the Banque de France, François Villeroy de
Galhau, in an interview at the Sunday newspaper El Pais.
    The ECB has announced that it intends to maintain
managers at their historically low level at least until
summer but the economic slowdown has led the markets to
wonder about this calendar.
    "The key question will be whether the slowdown is
temporarily, with a rebound in the course of the year, or if
is more sustainable, "says the governor to the Spanish daily
who asked if the slowdown was calling into question the
probability to see interest rates rise after the summer.
    He stressed that the ECB can be "extremely efficient" with
its "trio" of financial instruments (interest rate, management of the
balance sheet and liquidity instruments).
    "We will be pragmatic using this trio," he says.
    Developed:
    
    * HEART – A NEW TLTRO IS POSSIBLE
    February 15 – A new salvo of long-term loans from the
from the European Central Bank (ECB) for the benefit of
banks in the euro area is possible and is the subject of
discussions, Benoît Coeuré, a member of the
management board of the central bank.
    Banks in certain euro area countries, in particular
Italy, may end up with a problem of
funding next year when will come to term the most
recent targeted long-term refinancing operations
(TLTRO) of the ECB.
    "It's possible, we discuss it," said Coeuré. "But
we want to be sure that it is justified ".
    Coeuré later added: "It could be that there is
a possibility of a new TLTRO ".
    Developed:
    
    * THE ECB FAVORABLE TO A BUDGET FOR THE EURO AREA, WRITTEN
Draghi
    13 February – The European Central Bank (ECB) welcomes
setting up a common budget for the 19 countries of the euro zone,
especially if it incorporates stabilization tools
macroeconomic, writes the president of the institution, Mario
Draghi, in a letter to a MEP Wednesday.
    "A common budgetary instrument could, if conceived of
appropriate way, increase the resistance capacity of
each of the participating Member States and the euro area in
as a whole ", he considers in this answer to a question
of a Dutch member of the European Parliament.
    "Rather than creating political conflicts of interest,
in this type of situation, a budgetary capacity of this
nature could support the single monetary policy in
stabilizing the economy and thus promoting price stability "
adds Mario Draghi.
    
    * KNOT TAKES THE PATIENCE ON RATES FACING DECELERATION
ECONOMIC
    12 February – The European Central Bank must take its
time before raising interest rates, said the
Governor of the Bank of the Netherlands at the Financial Times, in this
which is akin to a flip-flop for this supporter of
monetary orthodoxy to the Board of Governors of
institution.
    With the ongoing slowdown in growth, some
ECB officials have advocated patience in the withdrawal of
monetary support measures but Klaas's stance
Knot seems to be pushing for the prospect of a rise in
rate, still officially considered for the second
semester 2019.
    The Dutch central banker, sometimes cited as a
potential candidate for the succession of the President of the ECB
Mario Draghi at the end of October, explains in the interview that
rate hike will not be justified until there is no
more evidence of accelerating inflation
towards the goal of just under 2%.
    "We must be patient and also, from my point of view,
modest as to when exactly we can think that
inflation will converge towards our medium-term goal ",
he said. "At this moment waiting and seeing is probably
the optimal attitude. "
    Developed:
    
    * COEURÉ (BCE) -LOWING MAY BE LONGER THAN
PLANNED
    February 7 – The Economic Downturn in the Zone
euro could be longer and more marked than expected
initially but nothing proves at this stage that this will be the case,
said Benoît Coeuré, one of the members of the executive board of the
European Central Bank (ECB) in a magazine interview
American financier Barron's.
    "We do not think we have sufficient elements to
conclude that we are facing a sustainable slowdown
and serious about the economy of the euro zone, "he said in
the interview published Thursday.
    "What we are seeing today is that the
slowdown could be wider and more prolonged than
originally planned. "
    Benoît Coeuré added that the ECB still had
instruments to combat a slowdown in
the economy and could also resort to new
tools to deal with an unexpected situation.
    
    * MERSCH WANTS TO STRENGTHEN THE ECB IN STABILITY
FINANCIAL
    February 4 – The European Central Bank (ECB) should
have increased powers to prevent bubbles
in the euro area because the instruments available to
national authorities often lack coherence,
said Monday Yves Mersch, one of the members of the executive board of
institution.
    The maintenance by the ECB of very low interest rates is fueling
fears of financial bubbles and
At the moment, the prevention of these risks is the responsibility of the
national.
    "The best solution is to integrate the issues of
financial stability in monetary policy at the level of
European Union, including possible corrections through the
instruments at national level ", said Yves Mersch at a meeting
conference in Budapest.
    However, he considered that the creation of a new
competent authority at the euro area level in the field of
financial stability could increase the risk of
confusion.
    Developed:
    
    * FOR WEIDMANN (ECB), GROWTH AND INFLATION WILL REMAIN
LOW IN 2019
    January 31 – The empty passage through the economy
German will be more marked and longer than originally estimated
and the flow of bad news is still far from over, has
said Thursday Jens Weidmann, the president of the Bundesbank.
    He added that inflation in the euro area should be
lower than expected due to lower prices
oil, but ruled that the European Central Bank (ECB)
should not, however, unnecessarily delay the normalization of
its monetary policy.
    "Unlike our December forecast, the decline in
growth is expected to continue this year, "said Jens
Weidmann in a speech delivered in Mannheim.
    "From today's point of view, the German economy will grow
so probably much less than the potential growth rate
1.5% in 2019. The bad news about the economy
could continue to arrive during a certain period
time."
    Developed:
    
    * UNCERTAINTY ON THE ECONOMIC CLIMATE, AVERTI
Draghi
    28 January – The euro zone economy is doing worse
than expected over the last few months and the ambient uncertainty weighs
on general sentiment, warned Monday Mario Draghi, the
President of the European Central Bank (ECB), while
considering a relaunch of the relaxation program unlikely
Quantitative (EQ) this year.
    "In recent months, the information available has
continued to be weaker than expected due to a
slowdown in external demand and factors
specific to certain countries and sectors, "said Mario
Draghi before the Economic Affairs Committee of
European Parliament in Brussels.
    "The persistence of uncertainties, particularly related to
geopolitical factors and the threat of protectionism, weighs
on economic sentiment, "he added.
    Developed:
    
    * ECB REMAINS COMMITTED TO MAINTAINING VERY INTEREST RATES
LOWER VILLEROY
    25 January – The European Central Bank (ECB) will remain
committed to keeping interest rates very low and could
consider financing operations for banks,
said Friday the governor of the Bank of France,
François Villeroy de Galhau.
    "We will stay, we eurosystem that is to say the Bank of
France, the European Central Bank, we will remain committed to
keep interest rates very low, which is a good
thing for the economy especially for households that borrow
for their real estate projects or for companies that
invest ".
    "Gradually we reduce the monetary stimulus,
that is, the support we provide but it's very
progressive according to the improvement of the situation
economic and we will take the time it takes based on
evolution of the activity ", he added, considering that the
French had the "guarantee" of maintaining funding
"very favorable" for their projects.
    Developed: