President Mario Draghi of European Central Bank said that he can see good signs of substantial improvements in UK economy. Mr Draghi also pointed to 3 of the economies of eurozone that are weaker, namely Spain, Portugal and Ireland, and said that these 3 have made much improvements in export performances.
According to him, bank lending has stayed anaemic but even that is improving for households and businesses.
He spoke this on his visit in London.
In spite of his slightly upbeat tone, ECB cut the interest rates of eurozone this month to very low and according to the latest figures, most of economies of eurozone are lessening.
However the strongest of all, Germany barely had any growth during the first 3 months of the current year.
In spite of this cut, as currency, euro has stayed steady. Mr Draghi said that the markets sounded all confident about euro being a stable and strong currency.
He spoke this after about a year of giving his speech that said that he will do whatever that takes in order to save euro. He said that answer to this crisis hadn’t been less of Europe but more about it. He was making reference to current debate regarding politics in UK about the membership of European Union. David Cameron, Prime Minister of UK, has promised about renegotiating its role in EU as well as holding referendum on the membership before end of the year 2017, if his Traditional Party wins next elections.
He said that both sides will benefit from the accepting:
“What I can say is that Europe needs a more European UK as much as the UK needs a more British Europe .”
He further insisted action to create Wide agency of Europe which has powers of restructuring damaged banks and which will take burden of the support further from the national governments.