The ECB president quoted in an interview with Dutch newspaper De Telegraaf published today
Asked what was needed to happen before they would start buying assets (QE) Draghi said:
That would be the answer to a deteoriation of inflation expectations over the medium term
At the moment though we are focussing on the measures announced on June 5th
Quantative Easing can include not only govt bonds but also private sector loans. We will discuss that when the time comes
- Eurozone recovery still weak, uneven and vulnerable
- disruptions in global economy could “quickly change the situation”
- interest rates would stay low over a longer period
We have prolonged banks’ access to unlimited liquidity up to the end of 2016. That is a signal. Our programme in support of bank lending to businesses will continue for 4 years. That shows that interest rates will remain low over a longer period
Reuters has more here
Nothing really new in the comments but confirms that they are in no rush to press the QE button. Jury still out on whether they will have to do so eventually whether they want to or not.
