‘ECB may need to soften impact of negative rates’

Bloomberg

Mario Draghi said the European Central Bank (ECB) is ready to soften the impact of negative interest rates if they are found to harm the transmission of its monetary policy.
“If necessary, we need to reflect on possible measures that can preserve the favorable implications of negative rates for the economy, while mitigating the side effects, if any,” the ECB president told a conference in Frankfurt. “That said, low bank profitability is not an inevitable consequence of negative rates.”
Draghi didn’t elaborate on what measures the ECB might adopt to take the edge off its negative rate policy.