Adequate insurance cover is also an important factor in risk mitigation for banks that lend to households and firms located in areas with high climate risks. However, in about three quarters of cases, banks are not aware that their borrowers are insured, which means that they might not take this into account when setting out their credit supply conditions.
SPIEGEL: What would you say to German taxpayers who fear inflation? Draghi: At present I do not see any risks to price stability. The ECB remains committed to safeguarding price stability as it has always done in the past. We firmly expect the inflation rate in the euro area to fall next year to below our target of close to 2%.