The euro could gradually replace the dollar As an international reserve currency, but this cannot be done from day to day, the Bank of Greece Governor estimates Giannis Stournaras In an article published on the Economist.
As Yiannis Stournaras points out in the last eight decades, the dollar has withstood wars, recessions and financial crises, to a large extent because the successive US governments have preserved some fundamental commitments, but today the opportunity is to be challenged.
According to him, the above requires support from a stronger, more consolidated and growth -oriented economy of the euro area. “There are already foundations. Eurozone leaders remain committed to stability, freedom of markets, democracy and the rule of law. The euro is backed by a politically independent and reliable central bank that remains steadily committed to its mandate for price stability, “he said.
In addition, in order to inspire confidence in the euro, recent initiatives taken (relaxation of fiscal rules in Germany, re -equipment of Europe, etc.) is first needed to complete the creation of a complete monetary union with the completion of the banking union, the promotion of the union.
According to the BoG Governor, the euro has failed to become a awe of the dollar to date as his share of international reserves and pricing in trade is only slightly higher than the cumulative share of national currencies he replaced 25 years ago.