Business

ECB ends eurozone QE stimulus programme


Mario DraghiImage copyright
Getty Images

The European Central Bank has confirmed it is ending its huge net asset purchase programme to stimulate the eurozone economy this month.

The ECB has stopped its bond-buying scheme, worth €30bn a month, despite a recent slowdown in the bloc’s recovery.

The move, first announced in June, is a big step towards unwinding the policies brought in to stabilise the eurozone in the wake of the financial crisis.

The ECB said it was keeping its main interest rate on hold at zero per cent.

The ECB began its asset purchase programme in 2015, years after the UK and US took similar action to shore up their economies.

It has so far pumped more than two trillion euros into the bloc’s economy, while maintaining ultra-low interest rates.

The bank argues this has countered deflation and staved off a deeper economic crisis, but it has long signalled it would gradually wind the programme down.



READ SOURCE

Leave a Reply