German Chancellor Angela Merkel said on Thursday that the European Central Bank is not ripping its own rule book with its massive bond buying programme.
Merkel made the remarks in a joint news conference with Spanish Prime Minister Mariano Rajoy, in which she praised his government’s efforts to reform Spain’s economy.
“I say that the ECB is acting in an independent way within its statutory mandate and it is responsible for monetary stability and so it will introduce measures to achieve that goal. My job, our job, is to make the right political moves,” she said.
Both leaders said that they would do what ever it takes to restore market confidence in the euro and dispel investor doubt about its future viability.
They also said there had been no discussions about the conditions that Spain would need to adhere to in order to receive a full sovereign bailout.
For his part, Rajoy insisted that there had been no decision in Madrid over whether to ask for one, adding that he had made no new promises of further austerity to Merkel during their meeting.