ECB Boosts Emergency Bond-Buying Program by 37% to €1.85T Amid Pandemic Resurgence

The ECB says the additional monetary policy actions were needed because of a resurgence in coronavirus cases.

Dec 10, 2020 at 1:07 p.m. UTC

Updated Sep 14, 2021 at 10:41 a.m. UTC

MOSHED-2020-10-29-7-49-43 — European Central Bank President Christine Lagarde.

The European Central Bank Thursday said it would boost the size of an emergency asset purchasing program and extend a bank loan program by a year as a resurgence in coronavirus cases takes a toll on the region's economy.

The pandemic emergency purchase program (PEPP) will increase by €500 billion to €1.85 trillion (US$2.2 trillion), and the horizon for net purchases was extended to March 2022.
"In any case, the governing council will conduct net purchases until it judges that the coronavirus crisis phase is over," according to a statement.
The monetary policymakers, led by ECB President Christine Lagarde, also pledged to extend the period of favorable terms on targeted longer-term refinancing operations (TLTRO III) by a year to June 2022.

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