Bank of England, facing COVID and Brexit, ramps up stimulus again | Reuters
The BoE raised the size of its asset-purchase programme to 895 billion pounds , 50 billion pounds more than expected by most economists in a Reuters poll.
The central bank said that would give it enough firepower to stretch its buying of government bonds through to the end of 2021.
The bank cut its forecasts for Britain’s economy, which it now expects to exceed its size before the COVID-19 pandemic only in the first quarter of 2022. Previously, the BoE had expected the recovery be complete by the end of next year.
“The outlook for the economy remains unusually uncertain,” the BoE said.
The central bank said that would give it enough firepower to stretch its buying of government bonds through to the end of 2021.
The bank cut its forecasts for Britain’s economy, which it now expects to exceed its size before the COVID-19 pandemic only in the first quarter of 2022. Previously, the BoE had expected the recovery be complete by the end of next year.
“The outlook for the economy remains unusually uncertain,” the BoE said.
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