Dutch governor attacks ECB’s new stimulus
Klaas Knot says rate cut and QE is “disproportionate to present economic conditions”
The president of the Netherlands Bank, Klaas Knot, has sharply criticised the stimulus package approved by the European Central Bank earlier this week, especially the resumption of quantitative easing.
After the meeting of the ECB governing council in September 11–12, president Mario Draghi announced the first rate cut since March 2016, and a new round of net asset purchases in a bid to boost inflation.
The ECB reduced the deposit rate by 10 basis points to –0.5%, and said it will start an
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