The European Central Bank is considering a new long-term liquidity operation available only to banks that agree to use the funding to lend to businesses, a German newspaper reported on Wednesday, citing sources.
ECB President Mario Draghi and other governing council members have repeatedly mentioned the option of conducting more liquidity operations, or LTROs, to help the fragile euro zone economy and ensure the flow of credit to the private sector.
The ECB extended more than one trillion euros of cheap three-year loans to banks through two long-term refinancing operations in late 2011 and early 2012.
via CNBC
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