erkki liikanen : monetary policy and its transmission to the economy speech by mr erkki liikanen, governor of the bank of finland, at the 4th fin - fsa conference on eu regulation and supervision, helsinki, 9 june 2015. * * * original presentation is on the bank of finland ’ s website : slides ( pdf ). [ slide 1 ] [ slide 2 ] commitment to accommodative monetary policy benefits economic outlook the governing council of the ecb has taken a series of monetary policy measures to stimulate the economy. the aim is to maintain price stability over the medium term. the most recent comprehensive monetary policy easing cycle from june 2014 to january 2015 consists of several standard and non - standard measures : [ slide 3 ] interest rate policy in 2014 in june and september the governing council cut the monetary policy lending rates and decided on a negative deposit facility rate. [ slide 4 ] the decisions to support provision of credit in 2014 the governing council also introduced two asset purchase programmes, for asset backed securities ( abs ) and covered bonds. it also launched a new liquidity facility to provide longerterm funding to banks conditional on their credit performance. [ slide 5 ] the decisions on large scale asset purchases and forward guidance in january in january 2015, the governing council judged that there was additional need for easing of the monetary policy stance, as the inflation outlook had weakened further. through the expanded asset purchase programme, the eurosystem extended its purchases to bonds issued by euro area governments, government agencies and european institutions. purchases will be continued until inflation is sustainably on a path leading to a level close to 2 %. engaging in large scale outright asset purchases switched the eurosystem from a demanddriven approach to a more active steering of the eurosystem balance sheet and monetary base. the motivation behind the decision to expand purchases to euro - denominated public sector securities was the weakening of the inflation outlook : euro area inflation, core inflation and both short and long - term inflation expectations declined strongly during the second half of 2014. the governing council has stated that “ they are intended to be carried out until endseptember 2016 and will in any case be conducted until we see a sustained adjustment in the path of inflation which is consistent with our aim of achieving inflation rates below, but close to, 2 % over the medium term. ” with this forward guidance, we, i. e. the governing council, indicate that our commitment to the accommodative monetary policy

. speech at bank of england conference, london, 8 july 2022, https : / / www. federalreserve. gov / newsevents / speech / brainard20220708a. htm the future monetary system. bis annual economic report, chapter iii, 26 june 2022, https : / / www. bis. org / publ / arpdf / ar2022e3. htm barry eichengreen, digital currencies – more than a passing fad? current history, january 2022, https : / / online. ucpress. edu / currenthistory / article / 121 / 831 / 24 / 119206 / digital - currenciesmore - than - a - passing - fad barry eichengreen, written evidence to uk parliament on cbdcs, 21 october 2021, https : / / committees. parliament. uk / writtenevidence / 40386 / pdf / christine lagarde and fabio panetta, key objectives of the digital euro. blog post, 13 july 2022, https : / / www. ecb. europa. eu / press / blog / date / 2022 / html / ecb. blog220713 ~ 34e21c3240. en. html martin wolf, a matter of interest - the battle over monetary policy. financial times, 27 july 2022, https : / / on. ft. com / 3jbvkc8 5 / 5 bis - central bankers'speeches