Monday, December 26, 2016

‘ECB must opkoopprogramma government bonds reduce’ – NU.nl

so says Klaas Knot, president of De Nederlandsche Bank (DNB), Tuesday in an interview in nrc.next.

Knot argues in the interview for “tapering”: the reduction of buy in the direction of the zero. “It is clear that we taperingsfase not long be able to postpone,” according to the DNB-president.

According to him, miss out on financial markets by the opkoopprogramma their risicokompas. “Investments and investments that are economically, little profitable, find a still place.” Knot points to the example of the housing market, where “prices have almost only rise on the basis of low interest rates”.

Extend

in Early december, the ECB-board still the opkoopprogramma with nine months until the end of 2017, but the monthly amount will be decrease of 80 billion euros to 60 billion euros. By ensuring more money in the financial markets, the ECB hopes that banks more money to lend. So should the economy be promoted and the inflation will be fueled.

Knot: “My preference at the last meeting was to, in addition to the teruggeschroefde volume, also less to go on than until the end of next year. But now we have once begun, we can not abruptly stop. That gives too much turmoil in the financial markets.”

By: NU.nl

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