Economy 52,861 Posted September 5, 2014 Share Posted September 5, 2014 http://mobile.nytimes.com/2014/09/05/business/international/ecb-cuts-interest-rate-further-paving-way-for-more-drastic-measures.html?_r=0&referrer= Due to Europes ongoing economic slump... The European Central Bank has cut its lending rate to banks from 0.15% to 0.05%. They also cut the "deposit rate" to -0.2% meaning the Central Bank will charge banks cash reserves that arent lent out to encourage lending" Europes Central Bank has also announced that starting next month they will begin to print money via Quantitative Easing like the US and Japan are currently doing and buy up bonds, mortgage backed securities etc to inject liquidity into the economy The Central Bank has yet to specify the amount of Assets they will buy with QE per month. Link to post Share on other sites More sharing options...
Luc 4,776 Posted September 5, 2014 Share Posted September 5, 2014 This is great. It will improve export and cause inflation, which the EU desperately needs. Link to post Share on other sites More sharing options...
Economy 52,861 Posted September 5, 2014 Author Share Posted September 5, 2014 This is great. It will improve export and cause inflation, which the EU desperately needs.i think they took so long to do it cause when multiple countries are involved its hard to agree on which assets to buy etc especially since some Countries benefit more than others But yeah, Europe needs a weaker Euro Link to post Share on other sites More sharing options...
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