Finance
Commerzbank Slams ‘Crazy’ Calls to Stash More Bank Cash at ECB
- Bank to lose €100m as ECB stopped paying interest on reserves
- ECB’s Holzmann suggests raising requirement to as much as 10%
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Commerzbank AG Chief Financial Officer Bettina Orlopp came out strongly against forcing lenders to hold more cash at the European Central Bank, a demand made by some top monetary policy officials.
“There is this crazy debate” about increasing the so-called minimum reserve requirement, Orlopp said Thursday at a conference hosted by S&P Global Ratings in Frankfurt. “The craziest proposal” was a call to raise the amount to 10% from the current level of 1%, she said.