Euro Will Not Collapse: Deutsche Bank Co-CEO
Europe’s single currency zone is essential and will survive its current crisis, Anshu Jain, the co-CEO of Germany’s Deutsche Bank, told CNBC on Tuesday.
“We have been of the view right from the beginning that the euro zone should stay together, that the euro is an essential project,” Jain said. “It should survive and it will survive.”
Explaining his optimism about the single currency’s sustainability, Jain said: “There is tremendous desire to keep the euro zone together… Right here in Germany there isn’t a single party that stands for breaking up the euro, and moving away from the euro.”
Regarding the European Central Bank (ECB)’s prospective unlimited bond purchasing program, announced last Thursday by ECB Chief Mario Draghi, Jain said: “The developments over the last week or so are fairly heartening.”
“Clearly what the ECB has said has been a galvanizing event. Let’s not forget we had the LTRO [long-term refinancing operations] not that long ago, now we have the bond-buying. Equally we have the IMF [International Monetary Fund] involved; we have the EFSF [European Financial Stability Facility], the ESM [European Stability Mechanism].”
Deutsche Bank released plans on Tuesday to cut annual costs by 4.5 billion euros ($5.8 billion) by 2015.
By CNBC.com's Katy Barnato