ECB’s new bank loan scheme won’t cover mortgages: Vasiliauskas

VILNIUS (Reuters) – Euro zone banks will not be able to use a new longer-term lending facility from the European Central Bank to extend mortgages, Lithuanian central bank chief Vitas Vasiliauskas said on Friday.

The ECB delayed its first post-crisis rate hike on Thursday and announced the new bank funding facility, commonly referred to as TLTRO, hoping to combat a sharp slowdown in growth and prevent pervasive uncertainty turning a slowdown into a recession.

Reporting by Andrius Sytas; Writing by Balazs Koranyi; Editing by Peter Graff

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