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Further Q&A: Q on issuer limit - particularly...>

ECB
ECB: Further Q&A:
Q on issuer limit - particularly Germany. Why is ECB more optimistic it's not an
issue for "extended period of time"?
- Will take "quite a bit of time before issue presents itself as a problem". All
estimates have to take expectations on issuance of bonds. Doesn't see this
problem coming up again soon. Limits are self imposed and specific to
contingency in which originally stated. ECJ granted substantial discretionary
power within the mandate to the ECB. We have capital key rules - its the stock
rather than flows that matter here.
Q: Debt brake in Germany of 0.35% of GDP unless downturn. Does this make
economic sense?
- Wouldn't answer on fiscal in one specific country.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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