ECB will continue to support Eurozone economy, worse still to come, says Lagarde


by   |  VIEW 547
ECB will continue to support Eurozone economy, worse still to come, says Lagarde

Late on Thursday, the 30th of April 2020, amid a deluge of dismal economic data battering business sentiments, ECB (European Central Bank) head Christine Lagarde was quoted saying on a meet of ECB policymakers that the pandemic had led to an “unprecedented recession” in the eurozone and the recession might just experience further holocaust before recovery might begin, pointing towards deeper wounds over the coming weeks as a slew of eurozone economies has been setting their eyes on a partial resumption of economic activities.

On top of that, citing conflicting narratives over the duration of a “rapidly worsening labour markets” alongside “a substantial scale of reduction in economic activities,” European Central Representatives alongside the ECB Chair, Lagarde, had signalled on Thursday’s (April 30th) meet that the Eurozone economic growth could experience a staggering downfall between 5 to 12 per cent.

Nevertheless, as the European Central Bank had kept its interest rate unchanged in to a negative territory and had declared that the Eurozone’s largest lender would continue to purchase assets on an urgent basis until an end of the pandemic-led economic crises, which analysts said could span up to end-2020, Lagarde said following Thursday’s (April 30th) ECB meet, “The Governing Council is ready to adjust all its instruments as necessary to ensure that inflation is steadily approaching the benchmark.