ECB Chief: Iraq war will damage global economy
Wim Duisenberg, Europe's Alan Greenspan, told press on Sunday that the European Central Bank is preparing to respond to global economic damage caused by a war with Iraq.
Duisenberg said US Federal Reserve Chairman Alan Greenspan -- with whom he speaks once a month -- agreed that the threats of war were bad for the economy.
In a separate interview with Germany’s Bild am Sonntag weekly, released Sunday, Duisenberg said the central bank remained open to further easing in interest rates, after the ECB’s December 5 decision to lower them by a half-percentage point.
The ECB has been less aggressive than the Fed with its rate cuts, leaving it a bit more room to maneuver as oil prices and other prices rise in the face of the impending war.
Posted by Mitch Ratcliffe at December 30, 2002 12:46 PM | TrackBack