Euro zone: Varoufakis evokes the “biggest beneficiary” in 2018
After an 18-month review, the organization raised the target to two percent, from “below but close to two percent.” Inflation jumped to 2.3% in Germany, fueled by a reduction in restrictions on coronaviruses.
Only the ECB, which manages the economy of the euro zone, could do it and that would risk torpedoing the economies of the most indebted members.
Florian Weber, of the Bavarian Nationalist Party, was scathing about the management of the ECB.
Speaking to the German news site Presse Portal, he said: “This is all a joke.
Christine Lagarde is President of the ECB
“Even though it has found itself in a bind with its zero and negative interest rate policy, the ECB’s pockets are empty.
“Now the one-year course” close your eyes and hope for the best “, with which, by the way, the ECB has always exceeded its mandate, which is designed exclusively for price stability, is taking its revenge. “
Mr Weber argued that eurozone leaders risked undermining confidence in their currency.
READ MORE: Three men killed in truck crash were part of burglar gang with 200 convictions
“This is all a joke”
“And that they’re about to lose the last bit of confidence and credibility. “
The Bavarian Party wants Bavaria, the largest state in Germany, to become an independent country.
They won 1.7% of the vote in the 2017 Bavarian parliamentary elections.
DO NOT MISS
EU warned against euro revolt ahead of Bulgaria’s snap poll [SHOCK]
Biden’s Treasury Secretary listed eurozone defaults ‘one by one’ [REVEAL]
Eurozone warning: expert exposes mistakes that pose serious risk [INSIGHT]
Angela Merkel to step down as German Chancellor later this year
Between 2009 and 2012, the euro area suffered a major debt crisis
In June, Jens Weidmann, who heads Germany’s central bank, warned: “Inflation is not dead.
Inflation, which measures the rise in prices, has a huge impact on a country’s economy.
High inflation devalues a currency, making it more expensive to buy goods abroad.
EU at “critical point” on the future of the euro area, according to an expert
He said: “When the economy operates close to [zero] interest rate, it requires particularly vigorous or persistent monetary policy action to prevent negative deviations from the inflation target from perpetuating.
“It may also involve a transitional period in which inflation is slightly above target. “
Anti-austerity riots in Greece in 2012
During the eurozone crisis of 2009-12, a number of EU states had to be bailed out to avoid bankruptcy.
In response, they were forced to sharply cut government spending, causing unemployment to spike.
Additional reporting by Monika Pallenberg.