Draghi brushes off Trump accusation of currency manipulation
EURACTIV, 19 June 2019
European Central Bank chief Mario Draghi said Tuesday (18 June) that the institution “doesn’t target the exchange rate”, shrugging off an allegation of currency manipulation from US President Donald Trump.
“We have our remit. We have our mandate. Our mandate is price stability” or inflation just below two percent, Draghi told a central banking conference in Sintra, Portugal.
“We are ready to use all the instruments that are necessary to fulfil this mandate, and we don’t target the exchange rate,” he added.
Draghi’s statement that weak economic growth and sluggish inflation could prompt the ECB to slash further rates already at historic lows had earlier sparked Trump’s ire.
“Mario Draghi just announced more stimulus could come, which immediately dropped the Euro against the Dollar, making it unfairly easier for them to compete against the USA,” Trump said on Twitter.
“They have been getting away with this for years, along with China and others,” he added.
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