Economics
German Parliament Backs ECB Bond-Buying After Court Standoff
- Broad alliance of German parties vote in favor of ECB program
- Germany’s top court triggered standoff with ruling in May
ECB headquarters stands in Frankfurt, Germany.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
German lawmakers ended a legal standoff over the European Central Bank’s bond buying, backing a monetary program seen as a key prop for the euro area’s battered economy.
A broad alliance of Chancellor Angela Merkel’s coalition parties together with the Greens and the pro-business Liberal Democrats voted to accept the explanation the ECB provided for its so-called public sector purchase program, or PSPP. The motion sends a signal that Germany’s political establishment intends to keep Europe together.