GETTY Relations between Mario Draghi and Germany have soured

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Relations have now hit breaking point and the rift over monetary policy threatens to blow the bloc apart.



As sentiment between the two reached an all-time low, the head of the eurozone's central bank yesterday lashed out at Germany.



The leader in effect told top German politcians to stop meddling after they publicly criticised ECB actions.

Mario Draghi curtly said: "We have a mandate to pursue price stability for the whole of the eurozone not only for Germany.



"We obey the law, not the politicians, because we are independent as stated by the law."



The outburst comes after German Finance Minister Wolfgang Schaeuble blamed the ECB for the declining popularity of Angela Merkel's ruling party.

GETTY Mr Schaeuble has been backed up by Ms Merkel

He said the bank was causing "extraordinary" problems for Germany and were in part to blame for the rise of the anti-immigration Alternative for Germany (AfD).



The ECB slashed interest rates further last month, a move which is hammering German savers.



But the Bank is faced with the more pressing problem of a struggling eurozone economy and the likes of Greece, Italy, Spain and Portugal, which are all burdened with huge debts.



Mr Draghi has also unleashed a fresh round of money-printing, injecting billions of pounds worth of cash into the economy in a bid to kick-start growth.



German economy minister Sigmar Gabriel has been another high profile critic and this week blasted the move, stating the policy had reached its limits.



Chancellor Angela Merkel later defended comments made by her government and said they were right to criticise the bank.



The leader made it plain that she also felt the ECB's policy was wrong.

But Ms Merkel insisted that this did not compromise the independence of the Bank.



She said: "The ECB is independent in its policy. It has a clear mandate, that of price stability.



"It's uncontested that monetary policy can't solve all problems. That's why it's the responsibility of us politicians to do our homework in our area, in economic policy, in structural reform.



"The better we do this, the faster growth will come and then the inflation rate will certainly rise again."



She added: "That people in Germany nonetheless discuss that interest rates were once higher, that is legitimate, I believe.



"And it shouldn't be confused with interference in the independent policy of the ECB, which I fully support."

GETTY Mr Draghi has blasted Germany

Mr Draghi yesterday insisted the controversial measures were working and vowed to use the full scope of his monetary powers for "as long as needed".



In another snipe, he also laid some of the blame for the eurozone's struggling economy at the feet of governments.



He said the region's economy would be on a more solid footing if fiscal policy and more ambitious reforms were pushed through.



The chief insisted the economy would be in a worse state today had the bank not cut rates and printed more money.



But said more time was needed to prove his point.

Angela Merkel in pictures Tue, August 8, 2017 Angela Merkel has served as German Chancellor since 2005 and Leader of the Christian Democratic Union since 2000. We take a look at her political career in pictures. Play slideshow AFP/Getty Images 1 of 83 Angela Merkel through the years