ECB cool on more bond buying, lending to IMF |
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December 8th, 2011
The European Central Bank doused on Thursday hopes it will aggressively ramp up its bond-buying programme and allow the euro zone to lend money to IMF so it can help fight the euro zone debt crisis. ECB President Mario Draghi said new forecasts from the central bank showed the currency bloc's GDP could contract by as much as 0.4 percent next year although it could also grow by as much as 1.0 percent.
The European Central Bank doused on Thursday hopes it will aggressively ramp up its bond-buying programme and allow the euro zone to lend money to IMF so it can help fight the euro zone debt crisis.
ECB President Mario Draghi said new forecasts from the central bank showed the currency bloc's GDP could contract by as much as 0.4 percent next year although it could also grow by as much as 1.0 percent.
But he played down expectations the central bank would dramatically increase its debt crisis-fighting measures and revealed the vote to cut rates was not unanimous.
"The outlook remains subject to high uncertainty and substantial downside risks," Draghi told a news conference after the ECB cut interest rates back to a record low of 1 percent.
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