ECB could solve eurozone crisis, leading economist says

Adair Turner, former chief of the UK Financial Services Authority, is the new chairman of the Institute for New Economic Thinking. He tells DW calibrated use of the ECB's balance sheet could end the eurozone crisis. 

Read more of the complete interview: ECB could solve eurozone crisis, leading economist says | Business | DW.DE | 10.04.2015

ECB: Draghi to face challenge on ECB leadership style

Reuters reports that national central bankers in the euro area plan to challenge European Central Bank chief Mario Draghi on Wednesday over what they see as his secretive management style and erratic communication and will urge him to act more collegially, ECB sources said.

The bankers are particularly angered that Draghi effectively set a target for increasing the ECB's balance sheet immediately after the policy-making governing council explicitly agreed not to make any figure public, the sources said.

"This created exactly the expectations we wanted to avoid," an ECB insider said. "Now everything we do is measured against the aim of increasing the balance sheet by a trillion (euros)... He created a rod for our own backs."

Read more: Draghi to face challenge on ECB leadership style: Sources

EU Economy: Visco Says ECB May Not Need to Add Stimulus Amid Euro - by Jana Randow Decline

The European Central Bank may not need to add stimulus measures after steps in the past three months pushed down the euro, said Governing Council member Ignazio Visco.

“Inflation expectations have to be back where they were,” Visco said Sept. 20 in an interview in Cairns, Australia, where he attended a meeting of Group of 20 finance chiefs. “This doesn’t mean that there will be a next step. We have been bold enough to reduce interest rates to a level that was unexpected to the market.”

The single currency has dropped about 6 percent since early June, when the ECB introduced a negative interest rate on excess reserves and presented a four-year lending program to fuel credit. Policy makers reduced borrowing costs further earlier this month and committed to buying asset-backed securities and covered bonds to boost the ECB’s balance sheet by as much as 1 trillion euros ($1.3 trillion).

Read more: Visco Says ECB May Not Need to Add Stimulus Amid Euro Decline - Bloomberg