ECB Independence Faces Rising Risks Amid High Debt, Warns Commerzbank - CryptoRank
ECB Independence Faces Rising Risks Amid High Debt, Warns Commerzbank - CryptoRank
Source: CryptoRank
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DW NOTE
The ECB holds €5.2 trillion in assets against a capital base of €11 billion — leverage that makes independence a polite fiction when sovereigns need their bonds bought. Commerzbank is correct that high debt creates risk, but the risk already crystallised: the ECB crossed the Rubicon in 2012 when Draghi promised "whatever it takes." What remains is not independence but the performance of it.