The PSPP is the latest of a suite of asset purchase programmes (APP), which include asset-backed securities (ABSPP) and covered bonds (CBPP3). The PSPP is a new programme for the euro area, but it can hardly be called a revolution in central banking.
Central banks around the world have relied on large-scale asset purchase programmes to further stimulate the economy and fulfil their mandates after hitting the zero lower bound. Accordingly, when the Governing Council decided on 22 January to launch the PSPP, it agreed unanimously that it is a monetary policy tool in a legal sense, although views differed on the timing of such a programme.