Daily Sabah logo

Politics
Diplomacy Legislation War On Terror EU Affairs Elections News Analysis
TÜRKİYE
Istanbul Education Investigations Minorities Expat Corner Diaspora
World
Mid-East Europe Americas Asia Pacific Africa Syrian Crisis Islamophobia
Business
Automotive Economy Energy Finance Tourism Tech Defense Transportation News Analysis
Lifestyle
Health Environment Travel Food Fashion Science Religion History Feature Expat Corner
Arts
Cinema Music Events Portrait Reviews Performing Arts
Sports
Football Basketball Motorsports Tennis
Opinion
Columns Op-Ed Reader's Corner Editorial
PHOTO GALLERY
JOBS ABOUT US RSS PRIVACY CONTACT US
© Turkuvaz Haberleşme ve Yayıncılık 2023

Daily Sabah logo

عربي
  • Politics
    • Diplomacy
    • Legislation
    • War On Terror
    • EU Affairs
    • Elections
    • News Analysis
  • TÜRKİYE
    • Istanbul
    • Education
    • Investigations
    • Minorities
    • Expat Corner
    • Diaspora
  • World
    • Mid-East
    • Europe
    • Americas
    • Asia Pacific
    • Africa
    • Syrian Crisis
    • Islamophobia
  • Business
    • Automotive
    • Economy
    • Energy
    • Finance
    • Tourism
    • Tech
    • Defense
    • Transportation
    • News Analysis
  • Lifestyle
    • Health
    • Environment
    • Travel
    • Food
    • Fashion
    • Science
    • Religion
    • History
    • Feature
    • Expat Corner
  • Arts
    • Cinema
    • Music
    • Events
    • Portrait
    • Reviews
    • Performing Arts
  • Sports
    • Football
    • Basketball
    • Motorsports
    • Tennis
  • Gallery
  • Opinion
    • Columns
    • Op-Ed
    • Reader's Corner
    • Editorial
  • TV

ECB’s cheap bank loans fail to spur credit growth in Italy, Spain

by Daily Sabah

ISTANBUL Mar 03, 2019 - 5:54 pm GMT+3
The headquarters of the European Central Bank (ECB) are illuminated with a giant euro sign at the start of the ,Luminale, light and building, event in Frankfurt, Germany, March 12, 2016. (Reuters Photo)
The headquarters of the European Central Bank (ECB) are illuminated with a giant euro sign at the start of the ,Luminale, light and building, event in Frankfurt, Germany, March 12, 2016. (Reuters Photo)
by Daily Sabah Mar 03, 2019 5:54 pm

The European Central Bank's cheap bank loans, a form of stimulus launched by the eurozone regulator, failed to produce desired results in Italy and Spain, data shows.

The loan package offering cheap money — known as targeted longer-term refinancing operations (TLTROs) — was aimed at boosting banks' credit growth.

Italian and Spanish banks, however, apparently did not use the TLTRO funding to issue loans as the two countries posted negative loan growth, January data showed.

Banks, particularly in Italy and Spain, face a cliff-edge as the ECB's 739 billion-euro ($839.13 billion) TLTRO approaches repayment dates in 2020-21.

According to Pictet Wealth Management data cited by Reuters, Italy has estimated 250 billion euros of TLTRO-II holdings, while Spain has 175 billion euros, making them the countries where the take-up of these loans was highest.

The ECB will soon discuss new, multi-year loans to banks, its chief economist Peter Praet said last month, but he hinted that a new round of credit may not be as generous as a previous facility. Praet's comments suggested a new round of TLTRO will be discussed as soon as the ECB's next meeting, on March 7. But a decision, particularly on the terms of the loans, may have to wait.

  • shortlink copied
  • RELATED TOPICS
    fight-against-terrorism DEUTSCHE-BANK US-LIBYA-RELATIONS
    KEYWORDS
    homepage
    The Daily Sabah Newsletter
    Keep up to date with what’s happening in Turkey, it’s region and the world.
    You can unsubscribe at any time. By signing up you are agreeing to our Terms of Use and Privacy Policy. This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
    No Image
    Clay masks, ancient statues: Excavation of Kurul Castle's secrets
    PHOTOGALLERY
    • POLITICS
    • Diplomacy
    • Legislation
    • War On Terror
    • EU Affairs
    • News Analysis
    • TÜRKİYE
    • Istanbul
    • Education
    • Investigations
    • Minorities
    • Diaspora
    • World
    • Mid-East
    • Europe
    • Americas
    • Asia Pacific
    • Africa
    • Syrian Crisis
    • İslamophobia
    • Business
    • Automotive
    • Economy
    • Energy
    • Finance
    • Tourism
    • Tech
    • Defense
    • Transportation
    • News Analysis
    • Lifestyle
    • Health
    • Environment
    • Travel
    • Food
    • Fashion
    • Science
    • Religion
    • History
    • Feature
    • Expat Corner
    • Arts
    • Cinema
    • Music
    • Events
    • Portrait
    • Performing Arts
    • Reviews
    • Sports
    • Football
    • Basketball
    • Motorsports
    • Tennis
    • Opinion
    • Columns
    • Op-Ed
    • Reader's Corner
    • Editorial
    • Photo gallery
    • Jobs
    • privacy
    • about us
    • contact us
    • RSS
    © Turkuvaz Haberleşme ve Yayıncılık 2021