ECB president calls for central banks to align monetary policies

Mario Draghi, president of the European Central Bank (ECB), on Tuesday called for the alignment of monetary policies of several central banks to benefit the global economy.

"We may not need formal coordination of policies, but we can benefit from alignment of policies. What I mean by alignment is a shared diagnosis of the root causes of the challenges that affect us all, and a shared commitment to found our domestic policies on that diagnosis," he said at the three-day forum in Sintra, around 25km from Lisbon.

"Monetary policy measures have inevitably created destabilising spillovers, especially when business cycles have been less aligned," he said.

He added it was no coincidence that central banks had faced a common challenge of low inflation, pointing out that global factors were at risk.

On Tuesday, Draghi didn't touch upon the subject of Britain having decided to leave the European Union, though he revealed his "sadness" on Monday during his opening speech.

Disappointing investors by not speaking about an event which has hit financial markets worldwide, speakers have stuck quite strictly to the program.

The forum is intended for central bankers, academics, market representatives and the media to discuss "the future of the international monetary and financial architecture," according to the forum's official website. Endit