ECB’s Kazimir Opposes Reinstating Unique Monetary Policy Tools
In a recent statement, European Central Bank Governing Council member Peter Kazimir expressed his opposition to reintroducing any “special tools of monetary policy.”
Speaking to reporters in Bratislava, Kazimir emphasized the transformative impact of the COVID-19 pandemic and ongoing geopolitical tensions, notably the conflict in Ukraine. He highlighted the evolving global landscape as a key reason against the revival of unconventional monetary measures.
“We lived in that environment for over a decade, reaping benefits but also incurring additional costs,” Kazimir remarked. “We’ve developed certain drawbacks and poor practices during the past decade of loose monetary policy. I firmly believe that the forthcoming normalcy will diverge from our experiences post the Global Financial Crisis.”
As head of Slovakia’s central bank, Kazimir refrained from discussing specific monetary policy matters due to the ECB’s quiet period preceding the upcoming rate decision.
