ECB rate corridor squeeze not on the table: Makuch

VIENNA (Reuters) - The European Central Bank is not discussing narrowing the gaps between its main interest rate and the overnight deposit and lending rates which straddle it, ECB policymaker Jozef Makuch said on Thursday.

The ECB cut its main refinancing rate by a 1/4 point to 0.75 percent last week and reduced its deposit rate by the same amount to zero.

“There is no debate on the corridor at the moment,” Makuch told reporters on the sidelines of a conference in Vienna.

Asked whether the ECB could reactivate its bond-purchase program or offer further long-term loans, he added: “Where necessary, the ECB will use measures already used or new ones. Currently the situation is not as such, there is no debate about it.”

Makuch said he expects euro zone growth to return in the medium term but he could not rule out a quicker rebound.

Reporting by Martin Santa, writing by Marc Jones