ECB discussing to wind down the QE

Hilal Sarı / İstanbul, June 6 (DHA) – European Central Bank will discuss next week how to wind down its 30 billion euros ($35 billion) monthly-purchase program (quantitative easing/QE) which was implemented since 2015 to revive the euro zone economy following the sovereign debt crisis.

According to a report by CNBC, "Next week, the (ECB's) Governing Council will have to assess whether progress so far has been sufficient to warrant a gradual unwinding of our net purchases," ECB Chief Economist Peter Praet said about the meeting due on June 14 in Latvia.

One of the bank's most hawkish members, Germany's Jens Weidmann, reiterated Wednesday that he expects the stimulus package to finish before the end of the year.

"For some time now, financial market participants have been expecting that the asset purchases will end before 2018 is out, "Weidmann told an audience at the same conference in Berlin. "As things stand, I find these market expectations plausible" he added.

Quantitative easing its government bond-buying program that seeks to boost inflation and boost lending — is currently due to end in September, but most ECB watchers project a final extension until the end of the year.

The euro rose slightly on Wednesday morning to about 0.2 percent against the dollar, following the remarks. The currency traded at $1.1742 at 10:00 a.m. London time.