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ECB Ordonez: Unclear Economy Strong Enough For Stimulus Exit



MADRID -(Dow Jones)- It isn't clear if the global economy is strong enough for policymakers to start withdrawing stimulus, a European Central Bank official said Monday.

Miguel Angel Fernandez Ordonez, a member of the ECB's Governing Council, said: "We don't know yet if the incipient global economic recovery has enough independent support for a stimulus withdrawal without running the risk of a new drop in activity," Ordonez said in the text of speech delivered before the Spanish senate.

Referring to Spain in particular, Ordonez said, "the situation is more complex," as the global contraction in output has had a relatively dramatic impact on unemployment and public finances.

-By Santiago Perez, Dow Jones Newswires; 34 91 395 8119; santiago.perez@ dowjones.com


  (END) Dow Jones Newswires
  11-23-090602ET
  Copyright (c) 2009 Dow Jones & Company, Inc.

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