At meeting in Bratislava on May 2, the governing council of the European Central Bank is expected to cut the ECB’s key interest rate, from 0.75 per cent to 0.5 per cent or less.

The decision, which has already been welcomed by the markets, "is more of a political compromise than a life-saving initiative for the European economy," argues La Tribune. "It speaks volumes about the difficult situation of the ECB, which has to contend with the conflicting imperatives of the economic situation and German demands."

On April 25, Chancellor Angela Merkel declared that “higher interest rates might be needed in Germany, but other countries needed lower ones."