HELSINKI (Reuters) - The European Central Bank has a suite of policy options to deploy if it needs to ease monetary policy further, including a broad-based asset-purchase programme, ECB Governing Council member Erkki Liikanen said.
ECB President Mario Draghi set out similar options in a speech in Amsterdam on April 24.
If deflation risks increase significantly, measures could include “non-traditional measures boosting demand, for example broad-based purchases of securities,” Liikanen said in presentation slides dated May 14 and published on the Bank of Finland’s website on Tuesday.
The ECB’s founding treaty prohibits it from buying government bonds in the primary market.
Reporting by Sakari Suoninen; Editing by Hugh Lawson