Joint currency
ECB: Euro is the second most important currency on earth
The US dollar remains number one by far. But US President Trump’s erratic trade policy.
The euro is the second most important currency in the world. The European Central Bank (ECB) in Frankfurt said that the European Community currency defended its international role.
The share of the euro in the global official foreign exchange reserves was adjusted to change exchange rate changes in 20.0 percent. A reserve currency is a globally important currency that is also held by other central banks.
The US dollar continues to be used by far the most. However, its share of the global foreign exchange reserves fell by 2.0 percentage points to 57.8 percent. In view of the erratic customs policy of US President Donald Trump and the high state debt of the United States, the role of the dollar was recently questioned by some experts.
What the ECB President says
According to the ECB, the attractiveness of the euro is underpinned by a solid policy in the euro area and strong, regular -based institutions. “The maintenance of the rule of law is still of crucial importance in order to maintain global trust in the euro and possibly even strengthen it,” said ECB President Christine Lagarde.
The ECB warned to vigilance. So central banks would build gold reserves with a record pace. In addition, some states would look around for alternatives, cross -border payment systems. The ECB also refers to initiatives that support the role of cryptocurrency.
Once again, the ECB demanded progress in growing the financial and capital markets in Europe. This is particularly important in this rapidly changed environment. This is the only way to exploit their full strength.
dpa
Source: Stern
