Bundesbank President Jens Weidmann has warned that the budgetary rules in the euro-area countries should not be interpreted too flexibly. Speaking at an event in Biberach, Mr Weidmann said that sound budgets were a key prerequisite for the stability of the single currency, for which every member state was responsible.
The Bundesbank sees signs of a more rapid upturn in economic activity in Germany than widely expected. In its latest Monthly Report, the Bundesbank cites the positive consumer climate as well as favourable developments in industrial orders and output as factors underpinning this. The economists expect the dramatic fall in crude oil prices to have a marked effect on growth.
The Bundesbank has marked the passing of its former President Karl Otto Pöhl in a commemorative ceremony. "Today we mourn the passing of an outstanding figure in the world of central banking who was instrumental in paving the way for European monetary union," said Bundesbank President Jens Weidmann at a commemorative ceremony in Frankfurt am Main. Karl Otto Pöhl passed away on 9 December 2014 at the age of 85.
The financing arrangement for the Single Resolution Fund has now been agreed upon, bringing a period of protracted negotiations to a close. This move means that another key pillar of the banking union is about to be put in place.
At an event held in Frankfurt am Main, Bundesbank Deputy President Claudia Buch discussed the new rules for regulating credit institutions with representatives from the world of politics and academics. "The framework is in place; now policymakers must implement the rules," said Ms Buch.
Bundesbank President Jens Weidmann has warned against false expectations surrounding the government bond purchases that are currently under discussion, explaining that the impact they would have was both rather modest and uncertain. Speaking in front of around 70 members of the International Club of Frankfurt Economic Journalists, he stated that he did not see any clear need for such a move at present, either.
Bundesbank President Jens Weidmann has issued a reminder of the special role played by the large member countries of the European monetary union. "That is why it is so important to pass reforms which strengthen forces for growth," Mr Weidmann said in a joint interview with the newspapers El Pais, Le Figaro and La Repubblica.
A thorn in the side of policymakers but indispensable to the Deutsche Bundesbank. Former Bundesbank President Karl Otto Pöhl passed away on 9 December 2014 in Switzerland, his adopted home country, at the age of 85.
Bundesbank President Jens Weidmann has warned of the risks and side-effects of unconventional monetary policy measures. Addressing an audience in Frankfurt am Main, Mr Weidman said that programmes like those used in the United States, the United Kingdom or Japan could not simply be transposed to the euro area.
Following a brisk start to the year, the German economy suprisingly lost momentum. Nonetheless, in its new projection the Bundesbank predicts that this will only be a temporary lull. The Bundesbank's economists forecast that gross domestic product will increase by 1.4% in 2014 and by 1.0% next year. In 2016, the economy could see growth of 1.6%.