According to a Bloomberg economist survey, the European Central Bank (ECB) is expected to slow its emergency bond purchases in July and signal later this year that the program will be discontinued in March 2022.
More than 60% of respondents predict the ECB will follow the current timeline for net purchases, and almost a large number expect the central bank to give a three -month warning before stopping the program.
The central bank accelerated its pandemic emergency purchasing program last month to ensure funding conditions for companies, households and governments across the euro area remain good.
However, ahead of the ECB meeting next week, analysts expect the central bank to make no changes in its monetary policy.
ECB President Christine Lagarde has previously said that the European economy will be affected by a faster US recovery and greater fiscal stimulus by raising inflation by 0.15%.
Although high infection rates and tight closures in many provinces are still curbing business activity, increased vaccinations indicate that coronavirus restrictions will be lifted gradually in the coming months.
Analysts predict the economic recovery will begin in the second quarter and become stronger by the end of the year.
