ECB announces phased end to Covid-19 collateral loosening
Conditions for access to liquidity schemes will tighten but Greek sovereign debt waiver will remain
The European Central Bank announced a two-year process to phase out the looser collateral requirements it implemented in response to the Covid-19 pandemic.
In April 2020, the ECB loosened the collateral requirements for national central banks in the Eurosystem wanting to lend to banks. This widened eurozone banks’ access to the ECB’s emergency liquidity operations.
Under the scheme, national central banks could accept as collateral loans made in foreign currencies, to particular types of
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