ECB Governing Council Member Olli Rehn said that Eurozone is now at a “critical juncture” with the coronavirus pandemic. It is “essential for Eurozone governments to “get their acts together and agree to a coordinated European fiscal response.” “There’s a saying: never waste a crisis. Therefore it’s important that euro area governments agree at this critical moment on some kind of a safe asset that could provide sturdy support for financing,” he added.
Another Governing Council member Pablo Hernandez de Cos also called for a common fiscal response using the European Stability Mechanism, the European Investment Bank, the EU’s common budget or other “risk sharing” tools. He urged, “greater ambition and coordination are not just an option; they are a necessity.”
