ECB Governing Council member Klaas Knot said the second wave of coronavirus pandemic “will have a less dramatic impact than the first, for which we were totally unprepared”.
“We know a bit more about the virus now, and businesses have learned to adapt where possible, for instance through online retail,” he added. “Early indicators point at slowing growth. It is clear the second wave will dent the recovery, but it is too early to say by how much.”
Regarding ECB’s measures, Knot said, “the costs of ending measures too soon are higher than the costs of maintaining them longer than necessary. And we must avoid ending them all at once. When the time comes, the exit must be gradual and predictable.”
