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ECB’s Villeroy: Still Far Away From r*, We Have Room to Manoeuvre

ECB’s Villeroy: Still Far Away From r*, We Have Room to Manoeuvre

By Marta Vilar – WASHINGTON (Econostream) – European Central Bank Governing Council member François Villeroy de Galhau said on Friday that even though the decades-long decline of r* had stopped, the neutral rate was still significantly lower than the current level of euro area interest rates.

25 October 2024