Duisenberg determined to maintain price stability

Mr Wim Duisenberg, president of the European Central bank, said today his principal mission was to "continue to maintain the …

Mr Wim Duisenberg, president of the European Central bank, said today his principal mission was to "continue to maintain the stability of prices," particularly "moderation" in salary settlements.

"Our principal mission as 'guardians of the euro' is to continue to maintain the stability of prices so that euro zone citizens are given a stable and credible currency," he said, speaking at the Council of Europe here.

"Over the next few months, we want to avoid the effects of a second round of temporarily increased inflation, which has resulted in the depreciation of the euro and the leap in petrol prices," he added.

"If one has noted recently an appreciation of the euro and a fall in petrol prices, we will continue to encourage the social partners to show moderation in the negotiation of salaries," Mr Duisenberg said.

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AFP