Euro zone banks to repay 34 billion of ECB loans

Euro Zone-ECB rate decision in Frankfurt

FRANKFURT (Reuters) – Euro zone banks will repay early another 34.2 billion euros in multi-year loans from the European Central Bank, shedding central bank liquidity as borrowing costs rise, ECB data showed on Friday.

Banks at one point sat on 2.1 trillion euros worth of cash from the ECB’s Targeted Longer-Term Refinancing Operations (TLTRO) but including Friday’s repayment, the stock of such loans is now below 600 billion euros.

(Reporting by Balazs Koranyi; Editing by Alison Williams)