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Germany

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…

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,…

Deutsche Bundesbank Monthly Report, December 2002

REPORT - The Bundesbank said in its December 2002 monthly report that in the summer months, output showed only a slight increase but in terms of domestic demand, households' consumption picked up in particular. The retail trade benefited very little from…

Deutsche Bundesbank Monthly Report, November 2002

REPORT - The Bundesbank said in its monthly report that at present, economic activity is still too weak to relieve the labour market. What is mainly lacking at present, the report says, is some kind of positive outlook which, as experience shows, is…

Germany has only itself to blame for its woes

ARTICLE - This article argues that one size always fits all in any monetary area, referring to the euro zone interest rate. And asks the question, Has the euro in any way aggravated the problem, compared with past monetary arrangements?

ECB Press Conference

PRESS CONFERENCE - Duisenberg confirmed that the recent appreciation of the euro constituted a monetary tightening which went someway to offsetting the half point interest rate cut late last year. He said the EC was right to start the excessive deficit…

ECB must act now

ARTICLE - The article says the ECB must continue to ease interest rates soon to further boost the flagging eurozone economy as the possibility of deflation in Germany is a greater danger than inflation.

Germany to face warning on deficit rules breach

Gerhard Schroder will today, Wednesday, be told by Brussels officials to increase efforts to tackle Germany's economic problems as speculation increases that the country will break the euro's budget deficit rules, the stability and growth pact, for a…

Bye bye, Buba

ARTICLE - This article says the ECB should scrap money supply targeting, its "first pillar" and reduce it to the role of an indicator. It also promotes a looser inflation target, with a change to a symmetrical rate perhaps as high as 3 per cent with 1…

Welteke on a framework for monetary stability

SPEECH - In the speech 'An institutional framework for monetary stability' Ernst Welteke of the Deutsche Bundesbank said that even today there is no automatic means of ensuring stable money and stable markets. It is an ongoing task and it is the task of…

Remsperger- Monetary stability Institutions matter

SPEECH - In the speech 'Monetary stability: Institutions matter' Hermann Remsperger of the Deutsche Bundesbank said the two-pillar approach of the ECB provides an excellent analytical framework. Not only allowing the ECB to integrate asset prices as an…

ECB's Liebscher: Rates appropriate, econ improving

Austrian National Bank Governor and European Central Bank governing council member Klaus Liebscher said interest rates are appropriate for the medium term, although they could still be lowered if need be. In an interview he also defended the ECB's two…

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