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Lending to euro zone private sector shrinks again Oct
Lending to euro zone households and companies contracted further in October, although at a slightly slower pace, despite the European Central Bank stepping up its efforts to get credit flowing again and revive growth. Euro zone banks, especially in crisis-stricken countries, have tightened their purse strings in response to tougher capital requirements and an uncertain environment, while companies have held off investments. To solve the problem, the ECB has started offering banks four-year loans at ultra-cheap rates and has begun buying covered bonds and asset-backed securities to ease the burden on banks' balance ... (full story)