Deposit rate cut discussed at this meeting – ECB’s Draghi

FXStreet (Mumbai) - President Draghi, while addressing questions said, the governing council had a rich discussion on various policy tools including a further cut in the deposit rate from the current level of -0.2%.

Draghi once again reiterated that the bank is ready to act if necessary and is open to use all tools to achieve its mandate.

The President said the downside risks are due to the output gap, low inflation due to further fall in the energy prices, a slowdown in the EMS and an almost 8% appreciation in the EUR exchange rate.