European central bankers have warned that risks including trade tensions and high government debt are piling up for the region’s economy, as they gathered for a meeting in Portugal this week.
Falling inflation and rebounding growth in the Eurozone were overshadowed by the victory of Marine Le Pen’s far-right eurosceptic party in the first round of France’s parliamentary election at the European Central Bank’s annual conference in a luxury hotel in Sintra, near Lisbon.
ECB governing council members told the Financial Times it was too early to speculate about whether they could be forced to intervene if France suffered a “Liz Truss moment” — referring to the debt crisis triggered by the former UK prime minister’s unfunded tax cuts in 2022.