FRANKFURT (Reuters) - It will be a long time before the European Central Bank can even start thinking about exiting its accommodative policy stance, ECB Executive Board member Benoit Coeure told Germany newspaper Sueddeutsche Zeitung on Monday.
Coeure said that while the ECB was considering options to ensure its asset buys were running smoothly, he was not in favor of buying bank bonds or providing helicopter money, a distribution of cash to consumers from a central bank.
“I am not in favour of buying bank bonds,” Coeure told the newspaper in an interview. “It would create the wrong incentives for banks to reform, to get rid of their non-performing loans and to identify new business models.
“As for helicopter money, it clearly blurs the line between monetary and fiscal policy,” he added.
Reporting by Balazs Koranyi; Editing by Alison Williams
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