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Lagarde: ECB’s mild growth scenario already outdated

27 May 2020 16:35 (UTC +04:00)

European Central Bank President Christine Lagarde said on Wednesday that the health crisis caused massive economic crisis never before heard of in peace times, APA reports citing Tele Trader.

Lagarde said that ECB has been doing on scenario planning. "There are three different directions. One is the mild scenario that is already outdated. Medium scenario predicts 8% contractions of the economy,. The severe scenario predicts the contraction of around 12%. We are between medium and severe scenario," she stated.

Lagarde added that recovery of the economic EU area will mostly depend on how quickly lockdown measures are lifted, what sectors are most affected. These factors "will determine how will we come out from this situation," Lagarde concluded.