European Central Bank can’t fix Europe’s economy, warns UBS boss

EUROPE’s monetary policymakers can’t fix the bloc’s economy woes, the boss of a leading investment bank has warned.

The European Central Bank (ECB) has the near impossible task of nursing the region back to health and has tried a number of desperate initiatives in recent years to kick-start growth.

Yet most recent figures signal the bloc is still struggling to stay afloat.
UBS chairman Axel Weber, who is also a former member of the ECB governing council, said the institution can’t provide a silver bullet for the 19-country region.

He told CNBC: “What you have in Europe is, I think, an over-reliance on monetary policy to fix problems.

“Central banks have actually facilitated or at least encouraged other policymakers like finance ministers or those that do structural reforms to somewhat take a relaxed attitude towards acting fast.”

He said: “Infrastructure is going to be the buzzword for the next 10 years, not monetary policy, and change the fate of Europe.”

Full article: European Central Bank can’t fix Europe’s economy, warns UBS boss (Express)

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