In a rare show of unity, central bankers from Germany have come together to express their strong opposition to the increasing xenophobia in Europe. It is highly unusual for central bankers to become directly involved in politics during an election, but these bankers believe that it is crucial for them to speak out against intolerance and discrimination.
The German central bank’s Bundesbank has issued a joint letter highlighting the importance of a democratic, free, and tolerant Europe as the foundation for peaceful coexistence, economic growth, prosperity, and the common good. The bankers stress that tolerance, human dignity, and openness to cross-border migration are fundamental values that guide their operations and are essential for Europe and the financial sector.
In particular, the Governor of the German Central Bank Joachim Nagel has expressed his concern about the rise of extremist groups in Europe and urged caution in dealing with them. He emphasized that xenophobia is not a solution but rather a threat to peace and stability in Europe. The management of the Bundesbank has actively opposed the rise of extreme right-wing parties like AfD by taking part in anti-extreme right-wing demonstrations earlier this year.
Lagarde also commented on political issues during her tenure at ECB expressing concern about Donald Trump’s re-election as President which she believes could pose a threat to Europe. Additionally, Italian member Piero Cipollonelta spoke out in support of combating climate change and urged proactive policies to address urgent need to prevent further climate crises through EU’s Green Deal initiative.
Overall, these central bankers’ messages are directed at far-right political leaders who oppose EU policies on climate change and migration. They underscore the importance of democratic values, tolerance, and cooperation in ensuring a peaceful and prosperous future for Europe.
