Neither recession nor deflation, the only real risk for the Eurozone is unemployment. This was stated by the president of the ECB, Mario Draghi, speaking on the French radio Europe 1: "In the whole Eurozone I see no risk of deflation but of very low inflation for a long period", despite the commitments of the central institution to bring it back as soon as below but close to 2%.
According to Draghi "the recovery is modest, weak and fragile", but this does not mean that the currency union is going through a period of recession. The central banker then spoke of interest rates: "They will stay low because they can't go down any further", assuming a still accommodating monetary policy by the central bank.
A monetary policy which, however, warns the president of the ECB, cannot be enough on its own. The main problem to be solved is that of unemployment, both among youth and in general, a problem caused "by a broader feeling of lack of confidence in the future" and which must be fought above all with "private, but also public" investments.
