European Central Bank unveils massive stimulus to goose up eurozone growth and inflation
- 9 years ago
The European Central Bank is to print hundreds of billions of euros to try to boost the flagging eurozone economy.
The so-called quantitative easing programme will see the bank buying government bonds and other investments.
Added to existing ECB schemes it will pump out a total of 60 billion euros each month.
The stimulus move, which is also intended to push up ultra-low inflation, comes despite opposition from Germany.
Berlin is worried that buying government debt could encourage countries to continue spending beyond their means and not move forward with economic reforms.
ECB President Mario Draghi said: “In March 2015 the Eurosystem will start to purchase euro-denominated investment-grade securities issued by euro area governments and agencies and European institutions in the secondary market.
Draghi said the bond purchases will go on until September of next year and until inflation start to sustainably rise.
At the moment consumer prices are falling in the eurozone wh
The so-called quantitative easing programme will see the bank buying government bonds and other investments.
Added to existing ECB schemes it will pump out a total of 60 billion euros each month.
The stimulus move, which is also intended to push up ultra-low inflation, comes despite opposition from Germany.
Berlin is worried that buying government debt could encourage countries to continue spending beyond their means and not move forward with economic reforms.
ECB President Mario Draghi said: “In March 2015 the Eurosystem will start to purchase euro-denominated investment-grade securities issued by euro area governments and agencies and European institutions in the secondary market.
Draghi said the bond purchases will go on until September of next year and until inflation start to sustainably rise.
At the moment consumer prices are falling in the eurozone wh