Q: How will the ECB decision on rates affect retail investors in medium and long term?
- A: We are moving all three interest rates by 50bp. The cost of funding for banks and the cost of credit for those who borrow, assuming good transmission, will go up.
Q: Are you going to announce TPI purchases when you make them and will you sterilise them and if so, how?
- A: Publication will take place in due course. If TPI is activated, it will avoid interference with the appropriate monetary policy stance. I won’t go into specific issues such as sterilisation. The TPI is intended to facilitate and enhance transmission of the monetary policy stance.
