Monetary policy The European Central Bank decided to continue buying securities at a rapid pace

The purchase of securities was accelerated in March as the euro area economy was weak in the early part of the year.

European the central bank decided on Thursday to keep its monetary policy unchanged. This means that the purchase of securities will continue significantly faster than in the first months of the year.

In March, the ECB decided accelerate purchases to ensure that financial conditions are conducive to economic recovery and that purchases are therefore not slowed down.

After the beginning of the year, the economic recovery is on the basis of proactive indicators clearly strengthened.

By purchasing securities market, the central bank increases the money supply.

The sellers of the securities are banks and investors who receive central bank money in return. It will allow them to increase their other investment and increase their lending to businesses and households.

In March last year, the ECB launched € 750 billion in emergency funding to deal with the financial damage caused by the coronavirus pandemic. Its ceiling has since been increased in two tranches to EUR 1 850 billion.

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