Massive Lending Operation ECB's Risky Plan to Flood Banks with Cash

The European Central Bank has launched the biggest lending operation in its history, and banks pounced on the offer on Wednesday, borrowing almost a half-billion euros for three years at a low interest rate. Governments hope the banks will use the cash to buy sovereign bonds, but critics warn the ECB's strategy is risky and could stoke inflation.
The European Central Bank in Frankfurt has given euro-zone banks a massive liquidity injection.

The European Central Bank in Frankfurt has given euro-zone banks a massive liquidity injection.

Foto: dapd