Re:German banks are hoarding so many euros they need more va...
by rwmj on Monday February 03, 2020 @12:25PM
(#22226381)
If this was an actual problem, couldn't the ECB issue (eg) €1 million bearer bonds to the banks that have to store cash (these notes wouldn't need to go into general circulation). In fact, why don't they do that?
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Re:German banks are hoarding so many euros they need more va...
by goodcanadian on Monday February 03, 2020 @12:40PM
(#22226627)
The short answer is that they don't want to make it easy for banks to hold cash; they want the banks to loan the money out (ideally) or deposit it with the European Central Bank where they will have to pay for the privilege in the form of negative interest rates (which is what the banks are trying to avoid by holding the cash).