ECB is about to "throw money from helicopters" over the European economy after low interest rate from 0.15% to a record low of 0.05%. Also, guard euro will launch two programs that will buy structured finance products and mortgage-backed bonds issued by euro area banks.
ECB President Mario Draghi has floated the idea of extending the bank's balance sheet to the levels of 2012 Since then, the balance has decreased by 1.000 billion.
ECB reduced the interest rate on bank deposits from -0.1% to 0.2%, which means that charge and more banks prefer to keep their money in ECB deposits instead to direct to lending to the real economy.
"The new program of bond purchases backed agreed today (Thursday n.red.) Will be purchased loans to the real economy," ECB President Mario Draghi explained, the man who just words brought calm in European financial markets. Program of asset purchases was not accepted unanimously by board governor, said ECB president.
In July, Bundesbank President Jens Weidmann described this acquisition as problematic and warned banks while supporting Loss of profits are shifted to the company.
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