Takeaways from ECB’s Lagarde Comments

The President of the European Central Bank (ECB), Christine Lagarde, expressed a positive sentiment towards this year being one of economic recovery from the impact of the Coronavirus pandemic.

Lagarde’s remarks came during a panel discussion during the Davos Agenda summit on Monday, CNBC reported.

“Our hope is that still 2021 is the year of recovery but in two phases and phase one is clearly one that it is still plagued with very high level of uncertainty.”

Speaking about crossing that bridge to the recovery, the ECB president said that “the journey seems to be little bit delayed, but should not be derailed.”

“The ECB will make sure that financing conditions are preserved at a favorable level,” she was quoted by Bloomberg as saying.

As for the recent decision to expand the asset-purchase program, Lagarde said that the bond-buying “can be smaller if financing conditions remain favorable, but it can be larger if it needs to be larger to maintain those favorable financing conditions.”