In the US, the unemployment rate has remained at 9.5 per cent in June (down from the high of 10 per cent). In the Eurozone, unemployment remains stuck at 10 per cent (there has been some fall in Germany from a high of 8.3 per cent to 7.6 per cent). 5.
This makes the TLTROs a powerful complement to the PEPP, as they concentrate on the downstream phases of monetary policy transmission – those that work through banks and more directly reach small and medium-sized enterprises, which are most reliant on bank financing.