Global pandemic forces central banks to turn to unconventional monetary policy

Washington

GLOBAL central bankers are discovering that monetary policies they once viewed as unconventional and temporary are now proving to be conventional and long-lasting.

Forced to think outside the box by the 2008 financial crisis and then again this year by the novel coronavirus pandemic, the Federal Reserve, European Central Bank (ECB) and most of their international counterparts have become more aggressive and innovative than ever in defending their economies from recession and the threat of deflation.