ECB Acknowledges European Banks Are Not Doing Well

Do not believe anyone telling you the European banking sector is healthy. None other than the European central bank, the ECB, is aware of the problem, having just confessed to it. The news was only mentioned in passing in some specialized magazines, but it deserves to be put under the light. One of the ECB’s directors, the Frenchman Benoît Coeuré, has said that “there may be room for another TLTRO (L’Agefi). TLTRO’s (Targeted Long-Term Refinancing Operation) consist of really low rates offered by the ECB to commercial Euro zone banks in dire need of cash. The previous one had been launched in June, 2016, for a four-year period; reimbursement is due to begin starting in June, 2020. But the problem is that several banks do not have that cash, due to their degraded financial situation – hence the willingness of the ECB to propose another round of TLTRO. This is one of the means to keep the debt rolling, to be irresponsible with the economy... The amounts involving banks...

from GoldBroker.com https://www.goldbroker.com/news/ecb-acknowledges-european-banks-are-not-doing-well-1488