End of the Draghi era at the ECB [What Think Tanks are thinking]

27-09-2019

The European Central Bank will shortly see a ‘change of the guard’ at a time of stagnating economic growth and fears of recession sparked partly by global trade conflicts. Current ECB President, Mario Draghi’s eight-year term in office ends on 1 November, and he is to be replaced by Christine Lagarde, former head of the International Monetary Fund and previously Minister of Finance in France. Some analysts say the the ECB’s recent decisions aimed at propping up faltering growth in the euro area will limit Lagarde’s room for manoeuvre as regards a possible change in policy direction. On 12 September, the ECB’s Governing Council cut interest rates deeper into negative territory and decided to extend its bond purchases, without giving any indicative end for the programme. This note offers links to a series of some recent commentaries and reports from major international think tanks and research institutes on the ECB and related issues.

The European Central Bank will shortly see a ‘change of the guard’ at a time of stagnating economic growth and fears of recession sparked partly by global trade conflicts. Current ECB President, Mario Draghi’s eight-year term in office ends on 1 November, and he is to be replaced by Christine Lagarde, former head of the International Monetary Fund and previously Minister of Finance in France. Some analysts say the the ECB’s recent decisions aimed at propping up faltering growth in the euro area will limit Lagarde’s room for manoeuvre as regards a possible change in policy direction. On 12 September, the ECB’s Governing Council cut interest rates deeper into negative territory and decided to extend its bond purchases, without giving any indicative end for the programme. This note offers links to a series of some recent commentaries and reports from major international think tanks and research institutes on the ECB and related issues.