The Governing Council of the ECB will "take action" to safeguard price stability both with respect to inflationary and deflationary pressures. This was stated by the president of the ECB, Mario Draghi, during a speech in Amsterdam: “We are witnessing – continued Draghi – a worsening of the inflation prospects in the medium term, which would require a broader asset purchase programme”.
To the malfunctioning of the bank credit markets, added the president of the Eurotower, the ECB could "adequately respond with a targeted longer-term refinancing operation, or through a program of purchases of securitized assets".
The ECB president observed that "we will not return to the predictability of the past in the short term", referring to the communication of the ECB and the management of investor expectations: this "has worked relatively well in normal times", but "the crisis has inevitably complicated the decision-making process and made it more difficult to understand our policies”.
Greater transparency on the decisions of the Eurotower board is being studied, Draghi also announced: "The Governing Council has reflected on the publication of a report on its monetary policy decisions," he said, specifying that it would not be the publication of a report with the positions of individual directors as in the case of the Fed, but of "disclosure of the main arguments considered, without specifying their origin".
