Santander CEO Says ECB Should Be More Aggressive in Buying Debt
“It should be a little more aggressive in its monetary expansion and be more aggressive in purchases of public and private bank debt,” said Saenz, who helps run Spain’s biggest bank, at a banking conference in Madrid today. “It would have to do a stronger policy of European quantative easing.”
More than 800 banks borrowed more than 1 trillion euros ($1.31 trillion) from the ECB’s Long-Term Refinancing Operations in December and February as the central bank provided the region’s banks with unlimited funds to avert a credit crunch.
The three-year ECB loans are a “good step” though aren’t enough to provide a stable financial environment for banks, Saenz said. It’s also necessary for governments to meet commitments to the European Union to cut their deficits agreed with Brussels.
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