Germany

Deutsche Bundesbank Monthly Report, April 2003

The Bundesbank said in its April 2003 monthly report that consumer prices continued to rise in March, albeit at a somewhat slower pace than before. The seasonally adjusted increase went down to 0.2%. The year-on-rate of increase fell to 1.2% from 1.3% in…

Bundesbank's Remsperger on monetary policy

In a speech on 'Monetary Policy: How relevant are other policymakers?' Hermann Remsperger of the Bundesbank said the main conclusion for Germany is that there is virtually no scope for stimulating fiscal action. The government has envisaged a budget …

IMF warns of high German deflation risk

The IMF has warned in a report that Germany is at high risk of deflation with Japan and other regions vulnerable to further price declines, according to Reuters. However, the report saw a low risk of deflation in the US.

IMF chief-Germany can still reach 0.5 pct growth

IMF chief Horst Koehler suggested on Thursday 15 May that the ECB had further room for rate cuts as inflation was not a problem for Germany or the other eurozone countries, according to Reuters. He also said that Germany still has a chance of reaching…

Germany sparks row over bank watchdog

Bundesbank president Ernst Welteke is reported by the Independent newspaper to have said on Tuesday 13 May that Germany rather than London should house the new supervisory regulator for banking in Frankfurt because of the proximity to the ECB and because…

Interview: Manfred J.M. Neumann

In conversation with the editor, Manfred J.M. Neumann explains why the ECB should keep its first pillar (a prominent role for money growth), but alter potentially divisive voting proposals. Manfred J.M. Neumann is a professor of economics at the…

Germany drops pledge to balance budget

Germany on 11 May conceded defeat in its battle to cut spending and avoid recession by dropping its pledge to balance its budget by 2006 as required under the Stability and Growth Pact, according to a report by EurActiv.

Big German banks to pay dearly for Basel II - Buba

Bundesbank council member Edgar Meister has said large German companies will pay heavily under the new Basel II regime as they will have to set aside billions of euros in additional capital to buffer against surprise losses.

Bundesbank's Stark unconcerned about euro rise

In an interview Vice President of the Bundesbank reported by Reuters, Juergen Stark said the global economy was not heading towards a major crisis and pointed to the fact that a strong euro made imports - particularly oil - cheaper, stimulating the…

Welteke confirms support for stability pact

Looking back over the lifetime of the euro, Ernst Welteke, the president of the Deutsche Bundesbank, said in a speech on Wednesday that the ECB had achieved its aim of price stability in the face of strong and in some cases unprecedented economic shocks…

Welteke - A European perspective on world economy

In a speech on 'A European perspective on the world economy' Ernst Welteke of the Deutsche Bundesbank said uncertainty currently weighs on all debates on economic issues. Uncertainty is a feature we will have to live with for some time now, but we must…

ECB should tolerate higher inflation - IMF report

The IMF's semi-annual World Economic Outlook report released on Wednesday 9 April urged the ECB to loosen its inflation target slightly to help stave off the threat of deflation for weaker eurozone economies such as Germany, according to Reuters.

Bundesbank's profits shrink by nearly 50%

The Bundesbank revealed this week that profits for 2002 fell by almost 50%. Gold and currency reserves were shown to have more than halved on the previous year, accordint to a report in the Frankfurther Allgemeine Zeitung.

Deutsche Bundesbank Monthly Report, February 2003

REPORT - The Bundesbank said in its February 2003 monthly report the recovery of the world economy slowed down noticeably in autumn 2002 even grinding to a halt in industrial countries. The report says this picture has changed little since the turn of…

Bundesbank report - Ways out of the crisis

REPORT - The Bundesbank took the unusual step of releasing to the public a report calling for swift action to overcome structural problems in the economy. The report argues that unless reforms are introduced the "potential growth rate" of the economy…

ECB Press Conference, 6 March

PRESS CONFERENCE - At the press conference which followed the ECB's decision to reduce interest rates Thursday Wim Duisenberg intimated that the circumstances which led to the cut have only really become clear in the last month. Price stability over the…

Deutsche Bundesbank Press Release

PRESS RELEASE - Statement by Edgar Meister in response to media enquiries, 4 March. Meister says that the issue of bonds by HVB Bank to raise capital is not necessary as the Bundesbank views the bank's solvency as "assured" and there are no supervisory…

Bundesbank may opt to sell gold reserves - report

Mr Welteke, president of the Bundesbank, was reported as saying that the Bundesbank may become a party to the upcoming agreement among gold-holding central banks of Europe to sell part of their gold reserves. The new agreement may allow for increased…

ECB reassures Germany over crisis fears

The European Central Bank on Tuesday sought to allay fears of a banking crisis in Germany amid reports that the government and senior bankers had discussed emergency measures to bail out the financial system.

War is no excuse for European profligacy

ARTICLE - Bundesbank vice-president, Jurgen Stark, says the "never ending" debate over the stability and growth pact has damaged its credibility but the rules of the Pact must not be relaxed. Such a relaxation, called for by the UK and Germany, would,…

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