Article 18 of the Statute states that the ECB may “buy and sell […] marketable instruments” as part of its mandate, if necessary to achieve price stability, of course always respecting the Treaty’s Article 123 on the prohibition of monetary financing. SZ: Where does the German opposition come from? Draghi: It comes from the history of the country and the fear of inflation.
However, since the 2008 global financial crisis, the United States and Europe also have faced the threat of low growth and deflation, giving rise to talk about a “Japanization” and renewed interest in Japan’s experience. In fact, when I glance at the economies of the euro area including Italy, I have to say I often have a sense of deja vu.