"As regards bank profitability, ECB research finds little evidence that our monetary policy is currently doing harm," Draghi told an audience in Frankfurt.
The central bank has been under some criticism from bank managers for keeping interest rates too low for a long time. The lower that interest rates are, the less banks can charge customers for taking out loans. Many CEOs have therefore bemoaned the ultra-loose policy that the central bank has embarked upon.
"Net interest income has remained quite stable over the past two years," Draghi noted about the balance sheets of European banks.
"If there are any negative effects of low rates on net interest income in the future, they should be largely offset by the positive effects of monetary stimulus on the other main components of profitability, such as the quality of loans and therefore on loan-loss provisions," Draghi added.