The election the the presidency of the United States will have negative repercussions on both the American and the European economy, said Bank of Greece (BoG) Governor and European Central Bank (ECB) board member Yannis Stournaras on Thursday.

Responding to a question during a conference on public debt held at BoG, the central banker reserved judgment until the new US president delivers his policy statement. However, Stournaras said, "from an academic point of view" and "based on Donald Trump's campaign announcements," one could reach certain conclusions.

During the campaign, Stournaras said, "Trump developed a certain rhetoric. Assuming, therefore, that he will implement some of the announcements on the migration issue and the raise of tariffs, then - at least temporarily - inflation will rise in the USA and the public debt will increase. As a result, the central bank of the US (the Federal Reserve) must respond."

In terms of the European economy, the BoG governor estimated that the consequences "will be negative, while the euro exchange rate will also be affected. Short-term, maybe the rate of growth will weaken, which would affect the ECB's monetary policy." However, he asserted that the ECB's monetary policy would not change, at least until its next board meeting in December. He reiterated that no final conclusion could be drawn before the new president delivers his policy statement.

"We are not changing our monetary policy, at least until specific policy statements are delivered by the new president. Inflation is dropping and is moving better, compared to the latest forecasts of September. At the same time, the economy, as shown by Eurostat's latest data, appears to have weakened further. At any rate, the decisions of monetary policy depend on the data we will have in the next meeting in December," Stournaras said.