Draghi, the president who broke molds at the ECB

Summary

The President of the European Central Bank (ECB) will be remembered for a number of things, and one of them is never having raised interest rates during his term, and in fact having lowered them to today's negative levels.

Key points

• Key points:
• Not only did he save the single currency when he said he would do whatever it took to defend it, but he has also brought a good dose of flexibility and pragmatism in his decision-making.
• He will also be remembered for adopting quantitative easing measures to flatten the yield curve and reduce expectations of monetary policy restrictions in the future.
• In a world with a multitude of reasons for very low interest rates, QE is likely to be part of the usual arsenal of Europe's monetary policy.

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