Economics

The ECB Is Preparing to Inflict More Pain on Banks

  • ECB expected to cut deposit rate to at least minus 0.5%
  • Lenders such as Deutsche and UBS say policy is ruining finance
Former ECB Vice President Vitor Constancio discusses the impact of negative rates on banks (scroll to 2’52").(Source: Bloomberg)
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The European Central Bank is about to turn the screws again on financial institutions by diving even deeper into negative interest rates.