Germany sends top politicians to Davos as world seeks economic recovery

This week, everyone’s attention was focused on the World Economic Forum, which takes place each year in Davos, Switzerland.

The WEF receives the world’s top politicians, economists, businesspeople and financial leaders, as well as prominent representatives of other issues including the environment and healthcare.

This week also saw some big news for Europe. The European Central Bank, which administers the monetary policy of the Eurozone, announced it would be injecting 1.1 trillion Euros into the economy using Quantitative Easing.

QE, as it is also known, is essentially where a central bank prints more money. It doesn’t have to be physical banknotes, but rather increasing the numbers on a computer, to put it simply.

This move is seen as controversial because debt-ridden countries like Greece stand to gain support from QE, despite the biggest contributors to the European Central Bank being Germany and France. It can also impact pensions and savings, plus it could increase income and wealth inequality.

On the other hand it keeps interest rates low and encourages people to borrow and spend money.

This has made quantitative easing a big topic in the Eurozone this week, and was also a point of discussion for Germany at the World Economic Forum.

In this week's episode, Manuela Kasper-Claridge, Deutsche Welle’s head of Business and Science, joined us on the phone from Davos to tell us more about 2015’s WEF. Take a listen using the player above.