ECB review

ECB Augments Existing Programs but Doesn’t Introduce New Ones

December 10, 2020

In a variety of ways, the central bank governing council expanded and in some cases extended the duration of non-interest rate monetary stimulus programs in order to preserve functional and accommodative financial conditions, promote economic recovery, and foster steady progress toward restoring the medium-term consumer price target which is a level “sufficiently close to, but […] More

ECB’s First Policy Meeting of 2018

January 25, 2018

The January meeting of the ECB Governing Council, the first of eight scheduled policy reviews in 2018, resulted in a consensus to leave all policy settings unchanged and the publication of a statement whose appraisal of the euro area economy and guidance to future policy can be best summarized by the fourth paragraph: Incoming information […] More

ECB Statement and Press Conference

October 2, 2014

ECB interest rates were left at their current levels after having been cut by 10 basis points in August.  The refinancing rate of 0.05% is flanked by a deposit rate of -0.2% and a marginal lending facility rate of 0.3%. Key operational details of the asset-backed securities purchase program and the third covered bond purchase […] More

ECB Governing Council Decides Against Any Further Stimulus at This Time

March 6, 2014

The central bank of the euro area retained key interest rates, namely a 0.25% refinancing rate flanked by a zero deposit rate and a 0.75% marginal lending rate.  The last change in any of these was made in November when the refi rate and MLR, but not the deposit rate, were cut by 25 bps.  […] More

ECB Press Conference Sows Return to Chaos

August 2, 2012

The ECB did worse than nothing today, and one is left to conclude that the result was intentional and born out of extreme frustration with the foot-dragging of politicians to “push ahead with fiscal consolidation, structural reform and European institution-building with great determination,” that is with extreme dispatch.  The only way to motivate governments is […] More