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Image header Agence Europe
Europe Daily Bulletin No. 7787
Contents Publication in full By article 13 / 33
GENERAL NEWS / (eu) ep/emu

Mr Von Wogau wants a "clear signal" on interest rates

Brussels, 29/08/2000 (Agence Europe) - The CDU MEP kerl Von Wogau (former chairman of the European Parliament's Economic and Monetary Committee), when considering worrying the rise in inflation rates in the Euro area during the last twelve months, called on the government of the Eurogroup countries to support the efforts of the European Central Bank aimed at stabilising prices. Inflation requires "a clear signal from interest rates", asserts Mr Von Wogau, while noting that the European Central Bank may, through its decision on interest rates, have a certain impact on the development of price levels. (Let us recalls that the first meeting of the ECB Board of Governors after the break is planned for Thursday 31 August, and that most observers expect a new rise in rates from this meetings). Mr Von Wogau, who chastises "the insufficient will for reform" of the social security systems in the Member States, also notes that there has always been, between the United States interest rates and those of the Euroland, a noticeable gap that makes the American market more attractive for investors. A shrinking on this divide could have a positive impact on the external value of the Euro, asserts Mr Von Wogau.

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ECONOMIC INTERPENETRATION
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