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The European Central Bank (ECB) is expected to maintain monetary policy on Thursday in the face of heightened nervousness ahead of high-profile elections in France and the Netherlands, as populist sentiment rises that threatens to affect recovery.
While economic growth and inflation are accelerating, the ECB must resist calls to tighten monetary policy, highlighting political risks, weak price growth and a still fragile recovery almost a decade after the bloc's economic concerns began.
But the scenario is improving. Economic confidence is at a maximum of six years, trade is recovering, services and industry production are rising, and unemployment is at its lowest level since 2009, suggesting that the economy has been in the best shape ever since.
Even inflation, the ECB's main objective, rebounded, reaching the central bank target last month.
While economic growth and inflation are accelerating, the ECB must resist calls to tighten monetary policy, highlighting political risks, weak price growth and a still fragile recovery almost a decade after the bloc's economic concerns began.
But the scenario is improving. Economic confidence is at a maximum of six years, trade is recovering, services and industry production are rising, and unemployment is at its lowest level since 2009, suggesting that the economy has been in the best shape ever since.
Even inflation, the ECB's main objective, rebounded, reaching the central bank target last month.
