ECB Keeping Rates Low for Longer Poses Financial Stability Risk, Papadia Says

The video features Mr. Padilla, a senior fellow at Bruegel and former head of the ECB's market operations. He discusses the ECB's latest stimulus extension, noting that the measures are relatively muted compared to past actions. He highlights the importance of macroprudential measures in maintaining financial stability, especially with prolonged low interest rates. The discussion also touches on the potential risks of extended stimulus and the role of macroprudential policies in addressing financial stability concerns.

What measures did Mr. Draghi suggest to address financial stability?

What is the uncertainty regarding macroprudential measures in relation to financial stability?