The European Central Bank (ECB) has its own
drastic steps against the economic consequences of the
Corona crisis justified. Given the significant risks that
the crisis is the latest decision
appropriate, the ECB president said on Monday before one
EU parliamentary committee via video conference. The bottom line is
the effects of loose monetary policy are clearly positive.
The ECB had its crisis measures again last week
significantly expanded. She increased her Corona emergency program PEPP by 600
Billions to 1.35 trillion euros. With the program she buys
Central bank various securities, but mainly
Government bonds. The purchases are said to continue the capital market rates
press and thus stimulate general economic activity.
Lagarde confirmed the central bank’s bleak economic forecast.
The ECB is expecting a massive contraction of the
Economy in the euro area by 8.7 percent. This decline is expected in
only partially in the coming year with growth of 5.2 percent
be made up for./bgf/he
AXC0275 2020-06-08 / 17: 19
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