The European Central Bank worries about its ability to provide further financial assistance to eurozone members due to flawed legislation.
The European Central Bank expands its Pandemic Emergency Purchase Programme by €500 billion to €1.85 trillion and extends the scheme to March 2022, saying it expects "a more pronounced near-term impact of the pandemic on the Eurozone economy and a more protracted weakness in inflation than previously envisaged".
A member of the board of the Bundesbank in Germany says that the European Central Bank ought to crack down on the political practice, in EU's member states, by which banks that are no longer viable are nonetheless kept in business, as so-called Zombie banks.
The Hellenic Parliament approves (with 222 yes votes) Prime Minister of Greece Alexis Tsipras's bailout package, despite opposition by almost one-third of his Syriza party. This third bailout plan is almost identical to the one rejected by the Greek people in the referendum. Tsipras will seek a vote of confidence following the country's August 20th payment to the European Central Bank.
Eurozone interest rates are raised to 1.25 per cent from the record low of 1 per cent by the European Central Bank (ECB) amid concerns this could cause problems for countries such as Portugal and the Republic of Ireland.