ECB expands euro liquidity backstop globally to bolster the euro's role
The ECB today unveiled a global backstop to boost the euro's role. The facility will provide central banks with liquidity during market stress from late 2026.
The European Central Bank (ECB) announced today plans to make its euro liquidity backstop / new repo facility globally available and permanent, offering standing repo access of up to €50 billion. Scheduled to be available from the third quarter of 2026, the initiative is designed to bolster the international role of the euro. ECB President Christine Lagarde framed the decision as a structural move to provide central banks (global) with a lender-of-last-resort facility, which will help reduce the risk of fire sales of euro securities and support monetary policy transmission.
