15-06-15

ECJ to issue its ruling on ECB's bond purchasing program on Tuesday

If the European Court of Justice will follow the line of reasoning of the advocate general there will be basically no limits for bond purchases, cep's Bert Van Roosebeke and Oliver Sauer argue

The ECJ ruling is eagerly awaited

The European Court of Justice (ECJ) will publish on Tuesday its judgement on the legality of the European Central Bank's OMT bond purchasing program. Germany's Constitutional Court had referred the case to the ECJ at the start of last year. The ECJ’s advocate general said some months ago that the OMT program is basically in line with EU rules. “If the ECJ will follow the line of reasoning of the advocate general there will be basically no limits to bond purchases,” the cep experts Bert Van Roosebeke and Oliver Sauer argue in their latest cepBlog. “The main line of reasoning of the advocate general is that the ECB is the expert and should have the leeway to decide which measures are necessary for conducting its monetary policy.”