On June 4, the President of the European Central Bank (ECB), Christine Lagarde, said that GDP growth in 2020 will be -8.7%. These figures were taken from the baseline scenario.
Earlier, the European Central Bank proposed to increase the amount by 600 billion euros to 1350 billion euros of purchases under Pandemic Emergency Purchase Programme (PEPP). ECB President Christine Lagarde spoke at a press conference with her opinion on the prospects for monetary policy.
In its analysis, the ECB assumes that overall GDP growth will be at 5.2% in 2021, up from 1.3% in March. The regulator has two different scenarios in store, but for now, the regulator is sticking to the basic scenario.
In the report for 2022, the regulator assumed that GDP growth will be 3.3% against 1.4% in March.
The regulator also noted that it is necessary to reduce the risk that was inherent in the basic scenario.