25 October 2012

Meeting between ECB president Draghi and members of the German Bundestag

Members of the German Bundestag's Budget Committee, Finance Committee and Committee on the Affairs of the EU, together with many other Members of the Bundestag, met the President of the ECB, Professor Mario Draghi, for a discussion at the Bundestag.

At a press conference, the President of the Bundestag, Professor Norbert Lammert, said that the discussion had focused both on the differences in the tasks of the ECB and the Bundestag, and on the responsibility they share. This had helped to ensure that concerns and intentions were better understood and to build confidence in the context of cooperation to ensure the stability of the euro. He also emphasised that the ECB’s independence was strongly supported by Germany and represented an “important additional factor in dealing with this crisis”.

The President of the ECB gave assurances that the Outright Monetary Transactions (OMTs) announced on 6 September 2012 would not lead to disguised financing of governments. He said that OMTs were fully in compliance with the independence and mandate of the ECB, that they would not reduce fiscal discipline and that they did not constitute monetary financing. He explained that the ECB would only use OMTs to intervene in countries where the economy and public finances were on a sustainable path. In addition, these countries would first have to request support from the ESM and agree to conditionality in the form of an economic adjustment programme. Support from the ESM would not automatically lead to OMT actions by the ECB benefiting the country concerned, however. He noted that it was governments which had to set right their public finances and reform their economies.

Press release

Draghi’s opening statement

Read more (in German)

Video of press conference (German/English)

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