TY - GEN A1 - Jost, Thomas A1 - Mink, Reimund T1 - How to deal with the negative effects of inflated central bank balance sheets? N2 - Due to the massive purchases of securities in the last 15 years central banks incur substantial losses likely to persist for several years. On the other hand, the banking sector gains large profits from interest payments on their excess reserves holdings. Central banks and fiscal authorities must now bear the flip side consequences of their bond purchase programs. Populist demands to limit bank profits by drastically increasing minimum reserve ratios in the Eurosystem are creating new severe problems. Instead, a consistent and faster normalisation of central bank balance sheets would be desirable. Central banks should also no longer be central players in government bond markets to restore the lost boundaries between fiscal and monetary policy. KW - Europäische Zentralbank KW - Geldpolitik KW - Notenbank KW - ecb, minimum reserve, monetary policy Y1 - 2024 UR - https://opus4.kobv.de/opus4-h-ab/frontdoor/index/index/docId/2284 UR - https://www.suerf.org/wp-content/uploads/2024/04/SUERF-Policy-Brief-860_Jost-Mink.pdf SP - 1 EP - 4 ER -