Eurozone bond-buying to be kick-started next week

Eurozone bond-buying to be kick-started next week

European Central Bank president Mario Draghi has announced the body will start buying up public sector bonds on Monday.

The announcement comes as part of Mr Draghi’s moves to outline the €1trn (£727bn) quantitative easing programme he announced in January, which is aimed at injecting life into Europe’s flagging economy.

Mr Draghi, who is in Cyprus for a meeting with the eurozone’s central bankers, said there would be “determined implementation” of the ECB’s monetary policy, with the aim of reviving inflation levels towards the 2 per cent target.

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He also stressed individual governments still needed to make structural reforms and improve labour markets in their own countries.

“This will not only increase the future sustainability of growth but also raise expectations of higher incomes and encourage firms to invest today, bringing forward the recovery,” Mr Draghi said.