Negative rates have invalidated the normal business model of central banks, which consists of issuing zero-interest bearing cash as liabilities and earning a return on their assets (the resulting profits are called “seigniorage”). But many central banks are now earning a negative rate on...

Different economic and financial structures require different crisis responses. Different crises also require different tools and resources. The first ‘stage' of the financial crisis (2007-09) was similar on both sides of the Atlantic, and the response was also quite similar. The second stage...

At the press conference following the ECB Governing Council meeting of 3 December 2015, the President of the ECB Mario Draghi reiterated the readiness of the ECB to adopt, if necessary, additional measures - in terms of size, composition and duration of the of the asset purchase programme EAPP -...

At the press conference following the ECB Governing Council meeting of 3 December 2015, the President of the ECB Mario Draghi reiterated the readiness of the ECB to adopt, if necessary, additional measures - in terms of size, composition and duration of the of the asset purchase programme EAPP -...

Since 2010, the ECB - in particular as a component of the so-called Troika - has been providing technical assistance/advice in the design and adoption of measures for contributing to the financial stability of crisis-hit countries. The ECB's role has been especially - but not exclusively -...

The notes in this compilation prepared by key monetary experts review the asset purchase programmes (Quantitative Easing or QE) undertaken by major central banks of developed countries in recent years, discuss their macroeconomic and financial effects and elaborate on the policy messages...

As the euro area business cycle matures, will the interaction between monetary policy and supervisory policy become potentially controversial? How to avoid situations where controversy over the actions of one policy dents the credibility of the other and/or the institutions involved? And how to...