FX.co ★ “Island of stability”

To date, world stability is desired as much as world peace. Ensuring the economic stability is one of main goals governments set worldwide. Europe demonstrates superiority in these terms. According to the European Central Bank, the euro area is an island of stability sustaining the economic recovery in the Old World.
Proving that fact, the ECB kept the benchmark interest rate at the record low of 0.25%. The ECB chief stated that in accordance with the results of economic and monetary analyses, the regulator made up its mind to leave the key interest rates unchanged. "We saw our baseline by and large confirmed," Draghi said. "There is a continuation of a modest recovery."
In the separate report, the governor shed the light on the other two issues concerning the fight against unemployment and consumer demand decrease in the euro area. ‘It has to go back to being also an island of prosperity and job creation but certainly it is an island of stability,”Draghi continued. Of course, the unrest in Ukraine was not neglected. The situation in this post-Soviet country was examined from a technocratic point of view. To sum up, Mario Draghi admitted that capital flows, trade cooperation, and other interconnections between the European Union and Ukraine are not so important for the bloc’s economy.
"However, let me also add that this would be a limited way to look at the situation because the geopolitical risks in the area could quickly become substantial and generate developments that are unforeseeable and potentially of great consequence," the ECB’s head highlighted. The Bank of England, which is also considered to be one the biggest central banks in Europe, has kept the benchmark interest rate in place, at the record low of 0.5%.