IMF urges further ECB interest rate cut

The ECB should consider a further interest rate cut and more unconventional measures to boost eurozone growth, according to the IMF.

In its latest World Economic Outlook, the IMF noted there was an improvement in competitiveness and exports among eurozone periphery countries, but very weak domestic demand.

“In the [eurozone] core countries, there is also a loss of confidence in the future which, if it doesn’t come around, then it could become a self fulfilling prophecy and that is worrying,” said IMF chief economist, Olivier Blanchard.