Draghi: 'Postive results' already from bond plan

[September 14, 2012]  FRANKFURT, Germany (AP) -- European Central Bank head Mario Draghi sees "positive results" already from the bank's plans to intervene in bond markets and lower borrowing costs for indebted governments.

Draghi said in an interview published Friday by Germany's Sueddeutsche Zeitung that the plan announced Aug. 2 "has contributed to raising confidence in the euro area" and that "we are certainly on a good path."

The bank's plans involve buying bonds issued by troubled countries if those countries ask the eurozone bailout fund for help and agree to reduce their deficits. Buying bonds lowers the interest costs governments pay and helps them avoid defaulting on their debts.

Draghi said "much remains to be done" to end the crisis.

[Associated Press]

Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.