The OMT program of bond purchases by the European Central Bank is compatible with European law, as they ruled Tuesday judges of the European Court of Justice.
The OMT program of bond purchases by the European Central Bank is compatible with European law, as they ruled Tuesday judges of the European Court of Justice.
The highest court of the European Union responded to legal remedy submitted by a group created in Germany consisting of 35,000 people, including politicians and academics, who had questioned the bond purchase program, called Direct Currency Transaction (OMT, for its acronym in English).
a statement explaining the decision, the court set certain conditions, saying that safeguards must be created to ensure that the program violates the prohibition of monetary financing of governments by a central bank.
“This purchase program sovereign bonds in secondary markets does not exceed the powers of the ECB’s monetary policy and violates the prohibition of providing monetary financing to the Member States, “he said.
ERP
No comments:
Post a Comment