THE EUROPEAN Central Bank (ECB) increased its bond purchases last week as investors remained concerned about governmentsÃ¢â‚¬â„¢ ability to push down budget deficits across the 16-member euro region.
The Frankfurt-based ECB said it completed Ã¢â€šÂ¬1.12 billion of purchases after settling Ã¢â€šÂ¬603 million the previous week.
It began taking seven-day term deposits yesterday to neutralise Ã¢â€šÂ¬73.5 billion of liquidity created by bond purchases since the programme started on May 10th.
ECB president Jean-Claude Trichet has said governments must step up efforts to stem contagion and restore confidence and described the bond programme as Ã¢â‚¬Å“temporaryÃ¢â‚¬Â.
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