• Rate decision was unanimous
• Reads G7 exchange rate statement
• Signs LTRO has been effective; gave banks insurance against risk of not having liquidity; gave banks to opportunity to manage assets/liabilities in more effective way; interbank lending markets thawing
• LTRO prevented major refinancing logjam; money not staying in the deposit facility
• Banks refinancing their bonds coming due via LTRO
• Fiscal consolidation showing significant progress; markets showing some appreciation for efforts
• ECB will act as agent for EFSF
• Some stabilization in the economy but serious downside risks remain
• Difficult to show confidence in economy due to heterogeneity in euro area
• Greece must bring fiscal action back on track, move forward with consolidation
• We never precommit on rates (when asked if 1% is the floor)
• ECB not part of Greek debt talks, no news on talks
• We all regret developments which led to Hildebrand resignation but ECB code prevents such happenings
• Did not discuss cutting rates on deposit facility to discourage deposits
• No comment on Bini-Smaghi on ECB being able to use QE if needed
• ECB’s goal to enhance bank lending; other countries are more focused on bond markets
• Interbank market still not functioning
• Very concerned on Hungary; political pressure on central banks is to be avoided; some concerns have been taken care of, some remain