5/22, 4:14 PM (Source: TeleTrader)
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Buba: ECB's bond buying helped major economies

Germany, France, Italy and Spain, the Eurozone's largest economies, have benefited from the Public Sector Purchase Programme (PSPP) introduced by the European Central Bank (ECB), the German Bundesbank said on Friday.

Inflation, economic output and bank lending, all increased in the four countries after the introduction of the bond-buying program.

Earlier, Germany's Constitutional Court questioned the legality of the ECB's decision to buy public debt. Buba noted it would back the ECB's attempts to justify the purchases as asked by the German court. However, the European Commission said it may seek legal action against the German ruling.

Breaking the News / VP