ECB technically prepared for negative deposit rates

Central bank may still shun the policy as it could unfairly punish some banks

Euro sign, Frankfurt

The European Central Bank (ECB) is technically prepared to cut its deposit rate to less than zero, but this does not mean that it should, according to Henner Asche, deputy head of markets at the Deutsche Bundesbank.

Asche told an audience at the National Asset-Liability Management Europe conference in London that the ECB had started preparing for a negative deposit rate "some time ago".

Both the central bank and the commercial banks in the region had to adjust their IT systems. "This has been

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account