Responding to the Franco-German proposal for EU stimulus funds on Monday, the president of the European Central Bank (ECB), Christine Lagarde, welcomed the news in a joint interview with four European newspapers.
“The Franco-German proposals are ambitious, targeted and of course welcome.”
“They pave the way for the long-term borrowing of funds by the European Commission and, above all, they make it possible to provide substantial direct support to the countries most affected by the crisis.”
After two months of impending talks, France and Germany have finally proposed a 500 billion euro (546 billion dollars) fund for the recovery of coronaviruses to help cushion the economic blow from the impact of the virus.
When the plan was announced, EUR / USD surged to a two-week high at 1.0927.
At the time of the press, the spot is trading in the rear just above the handle of 1.09, suffering from a large rebound in the US dollar against a backdrop of US-China tensions.