FXStreet (Mumbai) – The turmoil in China and other emerging markets will not derail an economic recovery in Europe, European Affairs Commissioner Pierre Moscovici said in an interview.
He also added that the threat to global growth posed by the Chinese slowdown should be on top of the agenda during a two-day meeting in Ankara on Friday where finance ministers and central bankers from the Group of 20 major industrial economies will participate.
Moscovici’s comments just come ahead of the ECB meeting and Draghi’s press conference, with all eyes on Draghi’s take on the recent financial markets turmoil and its implications on the Euro area economies.
Key Quotes:
“I’m reasonably optimistic and confident as far as the EU and euro zone is concerned,”
“I think these economies are robust enough to resist some uncertainty which could come from other markets, knowing the authorities – monetary and political authorities in China and also the outside world – are ready to address those questions,”
“The Chinese authorities themselves cannot let things go so that China is the next crisis,”
“It’s a spot of uncertainty and volatility but they have the means to address that.”
“Currency, well, it is not my main concern,” “This can be balanced by other factors – the lower price of energy and the central banks are still very active. I think we are in a situation with a long phase where interest rates are favourable to growth.”
(Market News Provided by FXstreet)