more and more of US trade conflict with China is a danger for Europe's economy. The European Central Bank wants to look at the Council's meeting in Vilnius ways. Many of the resources she has.
Lithuania's Central Bank in a nondescript building in Baroque style is situated in the centre of the beautiful capital city of Vilnius. In front of the white and yellow painted buildings, the yellow blows-green-red flag of the country. Everything seems quiet and somewhat sedate. But behind the Scenes it was in the past few weeks, more turbulent. The beginning of may, the supernatant Central Bank chief Vitas Vasiliauskas a no-confidence vote in Parliament.
Some members of Parliament had accused him, to not have during the financial crisis, cooperates with the members of Parliament. Didn't want to overthrow him then, what is legal but not possible. With the backing of the then President Dalia Grybauskaite Vasiliauskas survived the attack, which was apparently a tit-for-tat. As previously, the Central Bank chief, strongly criticized the economy had practiced policy of the government.
The St. Stanislaus Cathedral in the Lithuanian capital of Vilnius.
Under these circumstances, is Vasiliauskas, this week's host of the Council of the European Central Bank (ECB), which meets once a year in one of the member States. Lithuania is the latest country in the Euro area. Only in January of 2015, the common currency was introduced in the Baltic state. For Lithuania, it was similar to that of the neighbours, Estonia and Latvia, which joined already in 2011 and 2014, the Euro to have a strong political connection to the West.Lithuanians were not triggered with the Euro long not hot
rejoicing in the population has the leave of the local currency, Litas. Only around 40 per cent of the population were at that time for the Euro out of concern the new currency to Euro. This is also against the Background that Lithuania is one of the poorest countries in the Club of the 19 Euro area countries. However, have proved to be true, the fears are only partially. Although services were more expensive, a lot of food but cheaper. Wages rose, and the prosperity also. Today, the support for the community currency is 70 percent.
The view of the governing Council will not, however, linger long on the host country. Because of the economic situation in the Euro area as a whole makes the currency guardians are always bigger things to Worry about. The hard growth failed data to the beginning of the year, slightly better than expected. But the mood is bad. This is likely to be. at the meeting in Vilnius, also in the economic forecasts reflect, and are published by the ECB economists They are an important basis for the monetary policy of the monetary authorities.
How weak the economy is developing, the latest data show price increases. In may, the inflation rate slid 1.2 percent to the lowest level this year. In order to move away from the self-imposed target of just under two percent. Therefore, the ECB is concerned, the economy in Europe will develop in the second half of the year, extremely bumpy.