ECB Rejects More Crisis Measures

Despite push by IMF and U.S. Treasury, central bankers say they’ve done enough.

European Central Bank officials led by President Mario Draghi resisted calls from the International Monetary Fund and U.S. Treasury to do more to stem the debt crisis roiling the euro-area economy.

As talks of global finance chiefs ended yesterday in Washington, euro-area central bankers from Draghi to Bundesbank President Jens Weidmann argued they have done enough by cutting interest rates and issuing more long-term bank loans.

‘Flexibly and Aggressively’

Even before the IMF used the Washington meeting to win more than $430 billion in fresh funds to help safeguard the world economy from Europe’s woes, the ECB was lobbied to consider additional steps. The fund suggested last week that the Frankfurt-based central bank lower its benchmark interest rate and keep its crisis-fighting liquidity measures in place to support banks.

Bond Sales

Italian bill and bond sales this week include a 2.5 billion-euro bond sale tomorrow and an 8.5 billion-euro treasury bill sale on April 26, while Spain will sell three- and six- month bills tomorrow.

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