Draghi Defines His Era With Stimulus Measures Locked Into Next Decade
- Lending program can lock in ultra-low rates until next decade
- ECB action provides rebuttal to doubts over central bank power
Are Draghi's Moves Enough to Stimulate Europe's Economy?
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Whether Mario Draghi’s latest barrage of stimulus works or not, the European Central Bank president made one thing clear on Thursday: he won’t be the one to clean up afterward.
Instead, ultra-low interest rates that might even pay banks to receive loans are now potentially locked in until after the Italian retires in 2019. The ECB’s new measures have just entrenched policies designed for crisis times into the next decade.