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8/24, 5:06 PM (Source: TeleTrader)
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Weidmann: ECB stimulus not necessary yet

Bundesbank President and European Central Bank (ECB) policymaker Jens Weidmann said in an interview released on Saturday that he is not in favor of fiscal stimulus measures despite the fact that the European economy has weakened.

"The current outlook is particularly uncertain," Weidmann told Frankfurter Allgemeine Sonntagszeitung (FAS). "The question is whether new measures are necessary based on our inflation outlook, particularly if side effects grow and effectiveness diminishes," he added and stressed he is particularly against government bond purchases.

Earlier this week, the ECB said policymakers agreed a package of instruments to stimulate the economy amid the slowdown. Although the details of the package have not been revealed, the measures are expected to include a rate cut and a restart of its bond-purchasing program, among other measures.

Breaking the News / NP