How will the coronavirus vaccine affect economic recovery in 2021? Where do we stand after nine months of fighting the crisis? And what is the role of the ECB’s monetary policy? Our host Michael Steen discusses these questions with our Chief Economist Philip R. Lane.

The views expressed are those of the speakers and not necessarily those of the European Central Bank.

Published on 18 December 2020 and recorded on 11 December 2020.

In this episode:

00:23 – What is the assessment of the economic response to the first wave?

What the experience was during the first wave, how policy makers have adapted to the new challenges, how monetary and fiscal policy worked hand in hand to mitigate the economic shortfall.

05:53 – How is the ECB building a bridge towards economic recovery?

Why the ECB recalibrated its monetary policy in December, what the economic forecasts say about the recovery, how the PEPP and TLTROs work to support economic recovery.

14:08 – What are the challenges that lie ahead in 2021?

What the basis for our economic projections is, what difficulties and hopes there are on the path to economic recovery.

19:58 – What else is on the ECB’s agenda?

What the strategy review is about, what exactly we’re looking at and how we’re listening to Europeans and gathering their input.

Further reading:

Overview: The ECB’s response to the coronavirus pandemic

https://www.ecb.europa.eu/home/search/coronavirus/html/index.en.html

https://www.bankingsupervision.europa.eu/home/search/coronavirus/html/index.en.html

Press release: ECB prolongs support via targeted lending operations for banks that lend to the real economy

https://www.ecb.europa.eu/press/pr/date/2020/html/ecb.pr201210_1~e8e95af01c.en.html

Speech by Philip R. Lane: Monetary policy in a pandemic: ensuring favourable financing conditions

https://www.ecb.europa.eu/press/key/date/2020/html/ecb.sp201126~c5c1036327.en.html

Macroeconomic projections

https://www.ecb.europa.eu/pub/projections/html/index.en.html

European Central Bank

www.ecb.europa.eu

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