ECB provides $71 billion in credit to banks

AP News
Posted: Aug 10, 2011 6:37 AM
ECB provides $71 billion in credit to banks

The European Central Bank has carried through on its promise to loan unlimited cash to steady a banking system still shaken up by the continent's debt crisis.

The central bank handed out euro49.75 billion ($71.14 billion) to 114 banks that asked for it. The credit is for an unusually long period of six months, which gives banks more confidence they won't run out of financing.

The amount was more than some analysts had expected.

ECB President Jean-Claude Trichet announced the credit measure last week. It comes amid market turbulence caused by Europe's government debt crisis and fears about whether the global economy will keep growing.