Mersch says eurozone deposit rates are only ‘mildly’ negative
ECB board member says he would shy away from “wildly” negative rates
Deposit rates set by the European Central Bank (ECB) cannot go much further below zero without the costs becoming too great, Yves Mersch said in a speech in Luxembourg on October 3.
"Many consider" that the ECB's current deposit facility rate of -0.4% was near or at the "effective lower bound", the executive board member of the ECB said.
Mersch himself felt that rates were "mildly negative", but said he "would shy away from moving into ‘wildly negative' territory". Cutting interest rates even
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