ECB Funding Program is expanded, to tackle the impact of the coronavirus pandemic
It is expected that the ECB Funding Program to tackle pandemic, will be expanded by another € 500 billion. This should happen at the last for the year sitting of the Managing Board of the ECB.
Currently, the size of the emergency buying program is € 1 trillion 350 billion and its time horizon is until the end of June next year. Experts expect the ECB to add €500 billion more in stimulus and the program itself to be extended by another year – i.e. until the end of June 2022.
Many experts warn that the ECB’s decision could be made on the basis of economic development data, which were mainly collected before the second wave of the Coronavirus.
Experts expect Governor Christine Lagarde to also send the key message to Eurozone governments, namely not to worry so seriously about rising debt levels, as borrowing costs will remain low for a very long time.
Read also: Greece New Emergency measures against COVID-19, EU Funding under the SURE Instrument against COVID