These have served as a complement to the changes in interest rates when the channels by which, in normal times, the central bank transmits policy signals to the broader economy were seriously impaired.
As I will discuss in more detail below, these policies were devised in such a way that the ECB’s capacity to ensure price stability over the medium term was preserved, thereby contributing to the overall stability of the financial system in the euro area. However, the central bank’s contribution to fighting the impact of the crisis entails a delicate balancing act.