Large majority of European Central Bank’s policymakers supported the extension of the net asset purchases for nine months until the end of September 2018, amid robust and broad-based economic expansion in the bloc, an uptick in underlying inflation and the continued effective pass-through of the ECB’s policy measures to the financing conditions of the real economy, the minutes of the October 25- 26 meeting showed Thursday.
Members widely shared the view that continued solid and broad-based expansion of the euro area economy, amid supportive financing conditions, would eventually head inflation to levels consistent with the ECB’s medium-term inflation aim, the minutes, which the ECB calls the accounts, showed.
However, with inflation dynamics remaining subdued, the members agreed that an ample degree of monetary stimulus was still needed to secure a sustained return of inflation rates towards levels below, but close to, 2 percent.
Large majority of members supported the view that the asset purchases should be extended at a monthly pace of ?30 billion for nine months until the end of September 2018, or beyond, if necessary, the minutes showed.
Broad agreement was expressed among members to maintain the forward guidance on interest rates unchanged.
At the meeting, the Governing Council kept the main refi rate at zero percent, the deposit rate at -0.40 percent and the marginal lending facility at 0.25 percent.