The Bank of Italy says in a statement that the country's treasury will have to put up around 6.6 billion euros to rescue Monte dei Paschi given the European Central Bank's estimate of Monte dei Paschi's capital shortfall.
- Reuters (Image)
- The European Central Bank maintains its policy to halve monetary stimulus after September and end it in December 2018. However, the ECB perceives "uncertainties related to rising protectionism" as the main concern for the global economy.
- The value of the euro falls by one percent after the European Central Bank announces it expects to halve net bond purchases to EUR15 billion per month from October to December, then end "quantitative easing" by the close of the year, while not raising interest rates.
- Latvian bank ABLV sues the European Central Bank in the Court of Justice of the European Union, saying the ECB triggered ABLV's collapse. The bank failed following allegations by the United States that ABLV was laundering money on behalf of North Korea.
- Latvia will ask the European Central Bank not to renew the mandate of ECB Governing Council member Ilmars Rimsevics, the head of the central Bank of Latvia since 2001, amid an ECB payment moratorium and an U.S. graft investigation into Latvia's third-largest lender, ABLV. On 19 January, Rimsevics was released on bail.
- Spanish Minister of Economy and Competitiveness, Luis de Guindos, is set to be nominated by the Eurogroup to succeed Vtor Constncio as Vice-President of the European Central Bank.