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If that's true, it's the repo rate, at one-week maturities.
If it's been overnight lending at the punitive "marginal lending facility" rate, it's 1.75%, when the overnight interbank lending rate is not much higher than 0.25%
All of this lending is overcollateralised, as it is "against eligible assets" at a discount set by the ECB itself at its discretion.
Anyway you look at it, the ECB is making a lot of money on this lending. It's called Seigniorage. Keynesianism is intellectually hard, as evidenced by the inability of many trained economists to get it - Paul Krugman
And why should the european and irish central bank not enjoy seignorage?
Also, the Eurozone monetary authority shouldn't be the leading driver of the push to bring in the IMF to lend Euros to a Eurozone treasury.
Something really bizarre happened in November. Keynesianism is intellectually hard, as evidenced by the inability of many trained economists to get it - Paul Krugman
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