World Economy

ECB Needs Steady Policy

ECB Needs Steady PolicyECB Needs Steady Policy

The European Central Bank needs to keep monetary policy steady, despite “exceptional nervousness” in global markets, as its quantitative easing program is having an impact, executive board member Benoit Coeure said, NewsNow reported. The ECB launched the €60 billion ($66.6 billion) a month asset buying program this spring, hoping to stimulate the eurozone economy and boost inflation back towards its target of just under 2% by 2017. Although the bank has said that the policy is working, sluggish growth, falling commodity prices and the devaluation of the Chinese yuan have all increased the headwinds, raising concerns it might have to accelerate or extend the program.