These reforms will over time contribute to improving the working of financial markets integrated at the area-wide level. Furthermore, the Eurosystem has an obvious interest in well functioning and efficient financial markets because financial markets are the conduit through which monetary policy decisions are channelled into the economy. Let me consider first the money market.
This suggestion was made with reference to the greater liquidity that such a procedure would create for the euro-denominated government bond market and the savings in borrowing costs it would allow. You will hardly be surprised that I do not agree with this proposal.