European Central Bank Chief Says Worst Of Crisis Is Over

The head of the European Central Bank said that the Eurozone has weathered the worst of the economic crisis.

In an interview with the German newspaper Bild, ECB chief Mario Draghi said that the situation in Europe was “stabilizing.” His remarks were also quoted by the BBC.

Draghi said that a number of economic indicators showed that the EU was actually performing better financially than the United States, according to the BBC.

Draghi is perceived as the official who averted an even larger European crisis by lending European banks large sums at very low interest rates, the BBC reported.

The Long Term Refinancing Operation poured in over half a trillion euros of new funds into European banks.

“Last autumn, the situation was really critical,” Draghi told Bild. “It could have come to a dangerous credit crunch for the banks. As a result, businesses could have gone bankrupt, because they would have been left high and dry. We had to prevent that.”

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