Zombie firms across Europe may tie ECB's hands for years

London

WATCH out for the zombies.

The plethora of companies propped up by the European Central Bank (ECB) will limit policymakers' ability to withdraw monetary stimulus that's been supporting the continent's bond market since the financial crisis, according to strategists at Bank of America Corp.

About 9 per cent of Europe's biggest companies could be classified as the walking dead, companies that risk collapse if the support dries up, according to the analysts.

After the crash of Lehman Brothers sent global markets into a tailspin, a decade of easy-money policies gave breathing room for nations to get their balance sheets in check…