The European Central Bank may hike interest rates again at the end of October by 75 basis points, according to press reports. French President Emmanuel Macron called today, Monday, that the demand within the euro area was not curtailed to manage inflation since the European economy is not exhausted.
In an exclusive interview with the French newspaper “Lisico,” the French President expressed his concern about a slowdown in the expansion of the eurozone’s GDP, reiterating that the European economy is “not exhausted” and that demand should not be reduced in order to fight inflation, which he mentioned. from without.”
The invitation of numerous experts and players assigned to European monetary policy to reduce demand in Europe and better control inflation also raised concerns for Macron, who emphasised the need for caution.
Macron warned of a “breach of balance” in terms of competition that could arise from the massive German initiative to assist families and individuals and urged Germany to show “solidarity” in the face of high energy prices.
The French President continued, saying that “we cannot move forward with national policies because this matter disturbs the balance in the European continent,” highlighting the fact that “we have to move with a row unit,” much like what happened during the “Kovid-19” crisis in front of a real moment. Solidarity.
But if we want to be consistent, we shouldn’t follow national policies but rather a European strategy, Macron said, adding that “Germany is going through a moment of adjustment to its model, it should not minimise the relevance of its disruptive character.”
The French president expressed his confidence in the “French-German partnership force and the ability of the two countries together to develop an ambitious strategy in place.
“It is obvious that there will be German solidarity towards Europe,” he said, highlighting “the presence of European solidarity towards Germany.”
It is noteworthy that Germany had announced a package of economic measures worth 65 billion euros; To reduce the high energy costs, while Europe is struggling with a crisis in supplies after the Russian military operation in Ukraine..
Macron urges against reducing demand within the euro region in order to control inflation.
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