Quantitative easing would be complex for ECB: policymaker Hansson

Reuters

Quantitative easing, or printing money to buy assets, would be operationally complex for the European Central Bank, ECB policymaker Ardo Hansson said on Wednesday, adding that he saw a lot of questions around how to implement such a program.

Seeking to head off a drop in inflation expectations, the ECB governing council said earlier this month it was unanimous in its commitment to use unconventional tools - central bank-speak for things like quantitative easing (QE) - to counter a protracted period of low inflation.

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But Hansson, who sits on the governing council, expressed concerns about QE, telling Reuters: "I still have questions because it is so operationally complex."

"There are a lot of issues you that have to decide," he added on the sidelines of a news conference in Tallinn.

"Which types of assets you would start purchasing? By what types of rules? How you would implement that in a decentralized system where there are 18 different central banks implementing monetary policy? You have to look at legal issues and so on, so I don't (think) it is so simple."

(Reporting by David Mardiste; Writing by Paul Carrel; Editing by Hugh Lawson)