Wednesday, March 18, 2009



Bank of England Votes Unanimously to Print Money (Update1)
By Brian Swint

March 18 (Bloomberg) -- Bank of England policy makers voted unanimously to start printing as much as 75 billion pounds ($105 billion) in money to fight the recession as they made their final cut in the benchmark interest rate.

The bank, in its first vote on so-called quantitative easing, agreed the sum to spend over three months after debating purchases between 50 billion pounds and 100 billion pounds, according to minutes of the March 5 decision released in London. All nine policy makers backed a half-point cut in the key rate to 0.5 percent and to pay no interest on overnight deposits.

Governor Mervyn King said yesterday that the outlook for inflation will determine when policy makers reverse the program of buying bonds with newly created money and start raising interest rates. The bank last month forecast that inflation will slow to 0.3 percent in 2011, below the 2 percent target.

... the british greenback ...
... smart move ...


# posted by intcoex : 4:10 AM




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