The ECB is the central bank which monitors the monetary policy of the Eurozone, with the main objective being to maintain price stability.
The ECB's headquarters are in Frankfurt, Germany. Its owners and shareholders of the European Central Bank are the central banks not just of the 18 eurozone countries, but of the 28 member states of the EU.
Like other central banks, the ECB has been pumping torrents of cheap cash into markets, in the hope of boosting bank lending to business. But investors are more likely to put the money into stock markets, which promise faster and more lucrative returns.
The European Central Bank has now made borrowing money cheaper than ever. Its benchmark lending rate has been dropped to just 0.15%, and borrower banks will in the future pay penalties for parking money there. ECB President Mario Draghi hopes the move will encourage more lending to crisis-stricken EU Member States.But is that move too political in nature for Europe’s most important banker to make?