No surprises at the European Central Bank (ECB) meeting holy thursday. In a context where Russian aggression in Ukraine and “relevant uncertainty” have “seriously damaged business and consumer confidence” and “inflationary pressures are intensifying in many sectors”, monetary authority It has decided not to change the currency of the Eurozone. interest rates, At historical minimums – zero or negative, depending on the situation – since 2016 and debt purchases in the third quarter, after “new data is available”, as reported in a statement. At the previous meeting, the Central Bank end for such purchases third quarter if there are forecasts for inflation in the medium term. And so it did.
This monthly net purchases The amount of the program (APP), launched in mid-2014, will amount to €40,000 million in April, €30,000 million in May and €20,000 million in June. While calibrating Purchases from July According to the ECB’s statement, “It will depend on the data and reflect the evolution of the assessment of perspectives by the Governing Council”.
From then on, when “some time has passed” since those acquisitions expired, that will be what the ECB will consider. set interest rates –Currently the main financing operations and marginal lending facility and deposit interest rates are 0.00%, 0.25% and -0.50% respectively and will do so “incrementally” according to the central bank. The goal is for them to stay at these levels long before the end of your projection horizon and until you see inflation at 2% for the rest of that horizon permanently, and you believe the progress made in the core of inflation has progressed enough to be compliant. with inflation fixed at 2% in the medium term”.
“Looking ahead, Money Politics The percentage of the ECB will depend on new data and the evolution of the assessment of the Governing Council’s outlook. In the current conditions of high uncertainty, the Governing Council will keep options open, gradual and flexible In the conduct of monetary policy, the Governing Council will take all necessary measures to fulfill the price stability mandate given to the ECB and to help maintain financial stability.