About: Outright Monetary Transactions (OMT)

Euro & Finance 09-03-2015

A solution for temporary debt mutualisation in the eurozone

The ECB’s Outright Monetary Transactions Programme (OMT) has offered welcome relief for many eurozone countries struggling with high debt levels. But the destruction of capital market discipline bears considerable risks, write Clemens Fuest and Friedrich Heinemann. To address this, the authors propose the introduction of a new form of junior government bonds, "accountability bonds".
Euro & Finance 13-09-2013

German constitutional court should not stymie emergency eurozone action

The German court in Karlsruhe is considering referring the European Central bank to the European Court of Justice for its actions during the Eurozone crisis, but the bank has acted in the interests of the Eurozone economy as a whole, and of Germany, writes Guntram Wolff.