The president of the ECB, Mario Draghi, in a hearing in the Economic and Monetary Affairs Committee of the European Parliament reported on the situation in the euro area, after the monetary policies of recent years.
In times of uncertainty it is important that Europe is united. Efforts in recent years to strengthen the governance of the Economic and Monetary Union have already made the Union more resilient to shocks. However, our monetary union is still incomplete and remains vulnerable ”, continues Draghi, pointing out that“ to sustain confidence and continue economic expansion, we need further convergence and integration between euro area member states. In future reforms, including that on common insurance of bank deposits, “we must not get stuck on the distinction between risk reduction and risk sharing,” he added referring to German resistance to greater sharing before risks are reduced. Draghi said that “a substantial reduction of risks has already taken place” and that “the sharing of risks helps a lot in their reduction.