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Quantitative Easing - How It Works

The Bank of England is injecting money directly into the economy to meet the inflation target.

Glossary:

  • quantitative easing
    A way for the central bank to increase the money supply by buying lower-quality securities from the market when very low short-term interest rates are no longer sufficient to revive the weak economy.

Topics:

Money and Credit

Keywords

bonds, financial assets, inflation target, money supply, quantitative easing, spending