Frankfurt, Germany (AP) -- Europe's halt economic won't get more help, on Thursday, the European central bank cut interest rates is expected to defer, because it will have to wait for the healing of financial markets, the benchmark interest rate is very low to the enterprise and the consumer.
Most analysts said that the bank will leave 23 members of the European central bank management committee meeting held its headquarters in Frankfurt, Germany, its main refinancing rate in 0.75% of the record low. The bank interest rate decision the 17 European Union countries using the euro currency, the financial impact of 3.33 million people.
Some experts say, the bank may have removed all the lever, it can let the European out of a recession.
ING analysts kasten Brzeski in Brussels said: "the European central bank faces disturbing reality, it has almost run out of options to provide additional stimulus,".
However, the economy from where need help.
The European central bank expected, the euro zone economy will shrink 0.3%, in 2013, play later this year gradually recovery. Recently some enterprise boom index rise, although their level, indicating that the euro area is still in a recession started in 2013 - but no quick atrophy, keep. The unemployment rate has reached 11.8%, the highest in the euro since launched in 1999.
The European central bank have been the main weapon is not interest rates, but its offer an unlimited issue bonds, debt heavy countries, on condition that they dug European financial aid plan, budget cuts will be required to return.
So far, no one country, to claim the aid of all. But only declared that program, borrowing rate push two most troubling governments, Italy and Spain, reduce risk, they may not be able to process the huge debt.
Refinancing rate from the European central bank loan bank payment. This in turn affect how much the bank is in charge of the enterprise and the consumer lending. The question now is that the Banks in the financial crisis hurt during the fail the low interest rates of the customer, but charge significant to borrow money. In this case, another cut to the European central bank interest rates of refinancing would not help the economy.
The world bank President Mario Della auspicious and Yves Mersch, bank six members of the executive committee members of the latest, they said, unconventional measures, such as buy bonds, provide more rate cuts, reduce the real economy of the lending rate. Due to buy bonds offer boost the confidence of financial markets, feel much more comfortable some bank loans under charge.
In fact, bond purchase plan - called champions goods currency the sex trade, or OMT - so can effectively reduce the government bond market borrowing costs, and now some economists see the opportunity, it may not be able to use for several months, if any. This is expected to change greatly, from September 6,, the day plan announced. Then, Spain is expected to be in a few weeks for help.
Richard Barwell of the Chen and new surplus, royal bank of Scotland analysts in a research report wrote, investors have a obvious possibility, "we can go through the whole 2013 has not been activated OMT."
Belem broke the bank's chief economist holger shi meters ding said, the European central bank will not buy bonds opportunity is less than 50% ", but every month shows ascendant trend."
He warned against complacency, but: "usually happen in life - experience tells us that things are not always keep cool."
European economic recovery is expected far cannot be guaranteed, especially in government spending cuts to reduce debt and raising taxes. Help will come mainly from the euro area governments cut excess regulation make their economy more friendly business. This may take many years to have the effect.



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