It can borrow against the total amount of dollars in circulation in the world.

Moreover, the asset backed securities market is to be revived by the purchase of ABSs.

Lending through open market operations normally takes place in the form of reverse transactions . Reverse transactions are operations where the central bank buys assets under a repurchase agreement or grants a loan against assets given as collateral ( see Box 4.2 ) .

All the other countries, for example the United Kingdom, can borrow only against the amount of money in circulation inside its own borders.

Transactions in loans ( assets ) 2A .

Moreover, the claim that the ECB s purchases of asset backed securities amount to toxic loans that transfer risk to German taxpayers is unfounded after all, there have been almost no defaults since 2008.

Further quantitative easing, such as by the European Central Bank, could be directed toward greener asset backed securities.

Currency 2A 11 Other assets Domestic NonMFIs Loans NonMFIs Loans Loans

2.1 Non marketable assets ( bank loans ) Currently , non marketable assets ( including bank loans ) are eligible in six countries .

2A Loans domestic 3 Claims on euro area residents denominated in foreign currency Other assets Domestic NonMFIs Loans JPY Domestic Loans JPY 11

Loans rest of the world 2.2 Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world Banks Loans

Loans rest of the world Up to 1 year 2.1 Claims on non euro area residents denominated in foreign currency receivables from the IMF Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world Loans Loans Loans 2.2

Moreover, student loans constitute 45 of federally owned financial assets.

Loans rest of the world Over 1 year 2.2 Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world Loans

Loans rest of the world 4.1

Loans rest of the world 2.2 Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world Banks Loans GBP Banks Loans GBP

2 Loans ( 3 maturity bands ) 8 General government debt denominated in euro Other assets Domestic Loans Domestic Loans

Domestic NonMFIs

2 Non financial corporations By maturity ( 3 bands ) Loans Non financial corporations NonMFIs Other residents Non financial corporations 3 Claims on euro area residents denominated in foreign currency 11 Loans Other assets Other participating Member States Other participating Member States Loans Households

2B Loans other participating Member States 3 Claims on euro area residents denominated in foreign currency Other assets Other participating Member States NonMFIs Loans GBP Other participating Member States Loans GBP 11

Loans rest of the world 2.1 Claims on non euro area residents denominated in foreign currency receivables from the IMF Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world Nonbanks Loans Nonbanks Loans CHF Nonbanks Loans CHF 2.2

Non financial corporations 11

Loans rest of the world Up to 1 year 2.1 Claims on non euro area residents denominated in foreign currency receivables from the IMF Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world Loans Loans Loans 2.2

Loans rest of the world 2.1 Claims on non euro area residents denominated in foreign currency receivables from the IMF Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world Nonbanks Loans Nonbanks Loans Nonbanks Loans 2.2

Loans rest of the world Over 1 year 4.1 Claims on non euro area residents denominated in euro balances with banks , security investments and loans Other assets Rest of the world Loans Euro Loans

Non MFIs General government 8 General government debt denominated in euro Other assets Domestic Loans Domestic Loans

2B Loans other participating Member States 3 11 Other assets

General government as defined in the European System of Accounts 1995 , consists of central , state and local government and social security funds .

Longer term refinancing operations are carried out through monthly standard tenders and have a maturity of three months .

2.1 Non marketable assets ( bank loans ) Strong support for bank loans Within the context of counterparties call for a general extension of the list of eligible collateral , nonmarketable assets and , in particular , bank loans are seen as important categories of asset for inclusion in the single list .

11 3 8 11 Other assets Domestic Loans NonMFIs General government debt denominated in euro Domestic Loans General government Claims on euro area residents denominated in foreign currency Domestic Loans Other assets

The Eurosystem does not accept as underlying assets debt instruments issued or guaranteed by the counterparty , or by any other entity with which the counterparty has close links .

The German legal framework allowed for the issuance of asset backed securities by German banks in conditions that were not available to many banks in other countries .

Receivables from the IMF Balances with banks and security investments , external loans and other external assets

Receivables from the IMF Balances with banks and security investments , external loans and other external

Claims on non euro area residents denominated in foreign currency receivables from the IMF Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Loans Claims on non euro area residents denominated in euro balances with banks , security investments and loans Other assets Rest of the world Loans Non banks

Loans domestic 3 Claims on euro area residents denominated in foreign currency Domestic Loans

Together with asset backed securities, covered bonds, and corporate bonds, 1 trillion of assets the threshold widely thought to make quantitative easing by the ECB credible would be available for purchase.

When referring to accession countries , this Annual Report refers to the 12 countries with which negotiations for EU membership have been completed or are still ongoing . Acquis communautaire term commonly used to refer to all Community law including EU treaties , regulations and directives .

Countries joining the EU must have implemented the existing acquis communautaire by the time of accession . Balance of payments ( b.o.p. ) a statistical statement that summarises , for a specific time period , the economic transactions of an economy with the rest of the world .

It comprises the President and the VicePresident of the ECB and the governors of all EU NCBs .

Balances with banks and security investments , external loans and other external assets

Loans rest of the world 2.2 Claims on non euro area residents denominated in foreign currency balances with banks and security investments , external loans and other external assets Other assets Rest of the world

other reserve assets ( a ) financial derivatives ( b ) loans to non bank non residents ( c ) other B. Other foreign currency assets ( a ) securities not included in official reserve assets ( b ) deposits not included in official reserve assets ( c ) loans not included in official reserve assets ( d ) financial derivatives not included in official reserve assets ( e ) gold not included in official reserve assets ( f ) other

Loan level information requirements for ABSs in the Eurosystem collateral framework