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ECB Soaks Up $250 Billion as Loan Levels Lag

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More evidence that the liquidity provided by the ECBZ is not reaching small business and the other parts of the econmic system where it is needed. Banks are reluctant to lend for fear borrowers might default. Meanwhile the ECB mopped up $250 billion or $170 billion euros in overnight funds from the money market, by paying 0.8% instead of the overnight rate of 0.5%.

The European Central Bank's action in the 2009 financial crisis and its aftermath.

10/14/2009

Grouped Articles

ECB Soaks Up $250 Billion as Loan Levels Lag

Wall Street Journal 10/14/2009

Trichet to Leave a Difficult Legacy at Central Bank

New York Times 05/31/2011


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