The European Central Bank (ECB) will give the banks all the money they need during the Covid-19 crisis. The objective is to guarantee liquidity for the eurozone’s financial system and help preserve the smooth functioning of the markets.
The supervisory body will do this in two ways. Firstly, it will introduce an improvement in the conditions of long-term refinancing operations (TLTRO III), which are aimed at households and businesses. Secondly, it will launch a new series of emergency auctions (PELTRO), to “help preserve the proper functioning of the markets,” it says.
