The European Central Bank has revealed that time, is not on Europe’s side after the latest figures showed that the 17 nations of the euro currency have fallen into a double-dip recession.
With even worse figures projected in the winter, Mario Draghi, head of the European Central Bank urged members to take advantage of the ECB’s offer to buy unlimited amounts of bonds from troubled European nations.
“With the ECB unconventional measures, we have been able to steady the course … We have gained precious time, but this is not infinite”, Draghi said in Milan.
The news was felt throughout Europe with shares falling on all major European markets. The recession was confirmed after a 0.1% fall in output in the third quarter, which followed the 0.2% fall in GDP in the second quarter.
As projected, Italy, Greece, Spain and Portugal all saw their economies shrink in the third quarter. However, the biggest shock was the Netherlands, whose economy fell by 1.1% (five times more than expected).
To combat further economic dismay throughout Europe, Christine Lagarde, the managing director of the International Monetary Fund has cut short her visit to Asia to hold new talks with top European policy makers.