IMF's Lagarde defends ECB's controversial OMT measure

Christine Lagarde of the IMF has defended the crisis management of the European Central Bank (ECB) in an interview given to German newspaper Sueddeutsche Zeitung.

The comments came as a two day hearing in the German Constitutional Court reaches its final day, in which the legality of ECB monetary policy measures is discussed. A verdict is expected in September.

Lagarde said that the actions of the ECB had prevented "economic stagnation, higher unemployment and more social tensions" but yesterday Andreas Vosskuhle, the president of the court, said that the effectiveness of the measures had no bearing on their legality.

The IMF boss said that the day for monetary policy to change "has not yet come" and that "a premature exit could destroy the confidence gained".