Article by Dario Silic, PhD, SSBM Geneva Professor.
During the annual conference Euromoney in Vienna it was fantastic to hear some new ideas about neo-monetarism, inflation, and monetary policy in the eurozone from key stakeholders in the EU monetary system such as Jürgen Rigterink, First Vice President – EBRD, Robert Holzmann, Governor of the Austrian Central Bank, Member of the Governing Council of the European Central Bank, Gordana Dimitrievska – Kochoska, Minister of Finance – Government of the Republic of North Macedonia, Ekaterine Guntsadze, Deputy Minister of Finance – Government of Georgia, Alfonso García Mora, Vice President for Europe, Latin America and the Caribbean – IFC. The main conclusions from the conference’s different panels are:
The shift from conventional to unconventional monetary policy was dictated by the binding effective lower bound in interest rate. The applied new instruments of unconventional monetary policy included negative interest rates, quantitative easing, funding for lending, and forward guidance in all advanced economies.
Regarding inflation, five years ahead inflation expectations are at target (on average); the upward tail of the distribution is volatile. On top of that, the forecasts are characterized by asymmetry/skewness with fewer forecasters having a long-run forecast below 2%.
Reported supply constraints on equipment have almost converged back to the 2019 level while the Labour shortage is still above the 2019 level.
Economic growth in the United States is higher than in Europe for several main reasons:
Considering the potential risks in the world, especially since Trump became President of the USA with expansive policies such as the tariffs pressure policy on world economies there are many uncertainties, and forecasts for 2025 and 2026 are rather moderate and stable (Eurozone 1.3% in 2025 and 1,5% in 2026, USA 2.4% in 2025 and 2,1% in 2026, China 4.7% in 2025 and 4.4% in 2025, Japan 1.5% in 2025 and 0,6% in 2026, UK 1,7% in 2025 and 1.3% in 2026 and finally World 3,3% in 2025 and 3.3% in 2026 by IWF World Economic Forum)
SSBM Professor of Financial Management met Sadko Tajic, Deputy Head of Debt Listings on the Vienna Stock Exchange, and discussed the potential for corporate debt, mainly bonds, issued on the Vienna Stock Exchange after he visited the Vienna Stock Exchange (Wiener Borse Austria). Professor Silic teaches students of SSBM about stock issuance on primary and secondary markets, stock valuations, and corporate finance using common and preferred stocks and derivatives on equity and derivatives markets in its regular online or onsite lectures on SSBM campuses in corporate finance.
Founded in 1771, Vienna Stock Exchange is one of the oldest independent exchanges in Europe.
The Vienna MTF is an exchange-regulated market operated by the Vienna Stock Exchange and authorized by the Austrian Financial Market Authority. Designed to enable issuers to fulfill their listing requirements most efficiently and cost-effectively, the Vienna MTF has become the fastest-growing listing venue for debt securities in Europe.
Vienna Stock Exchange counts more than 20,000 bonds admitted to listing and trading (Listed volume: 830+ bn EUR). What is interesting is the fact that the Vienna Stock Exchange has more than 1,100 active issuers from 39 countries. They have been the number 1 Exchange-regulated market in terms of new listings (Vienna MTF, 2024).
The Vienna Stock Exchange is not just a market but a gateway to understanding European financial strategies. Mastering its dynamics could set you apart as a global leader in the world of business. The Vienna Stock Exchange is embracing ESG practices, making it a great case study for future leaders passionate about responsible investing. How will you shape the markets of tomorrow?
Overall, the Vienna Stock Exchange is an important player in the global financial markets, providing investors with access to a wide range of products and services. Its commitment to transparency, efficiency, and innovation has helped to make it a leading stock exchange in Europe, and it is likely to continue to play an important role in the years to come.
