Press Release: Henrike Hahn MEP (The Greens/ EFA) on today's decision of the ECB Governing Council

On the occasion of the ECB's recent interest rate hike Henrike Hahn, MEP (The Greens/EFA), Deputy Speaker of the German Delegation of the Greens/EFA, Substitute Member of the Economic and Monetary Affairs Committee and Shadow Rapporteur on the ECB Annual Report 2021, comments:

“The rapid increase in key interest rates by central banks around the world poses significant risks to the stability of the financial system. Further interest rate increases by the ECB could also cause difficulties for banks, insurers or investment funds in the euro area. Therefore, the ECB must now urgently examine what risks further interest rate hikes pose to the stability of the financial system.

It is good that the ECB Governing Council addressed the impact of corporate profits on inflation at its previous meeting. However, in order to enable an evidence-based, public discussion on the causes of inflation and to identify the right tools to combat this inflation, the ECB should publish data on this topic on a regular basis.

The renewed increase in key interest rates also sends a problematic signal for the green transformation of the economy. Higher interest rates slow down green investments - because they reduce incentives for new, green investments, which face significantly higher financing costs than investments in fossil fuels. Therefore, the ECB must now urgently examine the extent to which differentiated interest rates can be introduced for green investments.”


I would be happy to answer any further questions.

zurück zur vorherigen Seite