This will ensure that counterparties can continue to make full use of the Eurosystem’s refinancing operations. In particular, we will expand the scope of Additional Credit Claims (ACC) to include claims related to the financing of the corporate sector. (3) To ease the collateral standards by adjusting the main risk parameters of the collateral framework. (2) To expand the range of eligible assets under the corporate sector purchase programme (CSPP) to non-financial commercial paper, making all commercial papers of sufficient credit quality eligible for purchase under CSPP. The Governing Council will terminate net asset purchases under PEPP once it judges that the coronavirus Covid-19 crisis phase is over, but in any case not before the end of the year. This allows for fluctuations in the distribution of purchase flows over time, across asset classes and among jurisdictions.Ī waiver of the eligibility requirements for securities issued by the Greek government will be granted for purchases under PEPP. At the same time, purchases under the new PEPP will be conducted in a flexible manner. Purchases will be conducted until the end of 2020 and will include all the asset categories eligible under the existing asset purchase programme (APP).įor the purchases of public sector securities, the benchmark allocation across jurisdictions will continue to be the capital key of the national central banks. This new Pandemic Emergency Purchase Programme (PEPP) will have an overall envelope of €750 billion. (1) To launch a new temporary asset purchase programme of private and public sector securities to counter the serious risks to the monetary policy transmission mechanism and the outlook for the euro area posed by the outbreak and escalating diffusion of the coronavirus, COVID-19. The Governing Council decided the following:
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