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ECB's Constancio says prefers no policy change in foreseeable future

Published 30/12/2015, 17:54
© Reuters. European Central Bank vice president Constancio addresses news conference at ECB headquarters in Frankfurt

FRANKFURT (Reuters) - The vice president of the European Central Bank has said that he would prefer its policy to stay unchanged for the foreseeable future, in comments that suggest any extension of quantitative easing is unlikely for now.

While reiterating that the ECB had the tools to act and could use them, Vitor Constancio told a newspaper: "I would prefer it if our monetary policy did not have to change again in the foreseeable future."

"We have delivered and we will continue to deliver," he told Germany's Boersen Zeitung, when asked about the likelihood of further action. "We have the tools that could help us reach our goal, and, if it becomes necessary, we will use them."

In the comments published on the ECB's website on Wednesday, Constancio also defended a recent extension to the ECB's money-printing programme that fell short of market expectations.

© Reuters. European Central Bank vice president Constancio addresses news conference at ECB headquarters in Frankfurt

"The markets need to understand our decision-making processes better, and must not allow themselves to get carried away by wishful thinking," he said. "But we also have to communicate better."

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