The European Central Bank announced on 14 February 2026 a permanent expansion of its emergency liquidity scheme to all central banks worldwide. This aims to boost the euro’s international role amid economic uncertainties.
ECB President Christine Lagarde revealed the plans at the Munich Security Conference, the first time an ECB leader has spoken there.
“The ECB needs to be prepared for a more volatile environment,” Lagarde said. She cautioned against market stress sparking sales of euro assets that could disrupt policy. “We must avoid a situation where that stress triggers fire sales of euro-denominated securities in global funding markets, which could hamper the transmission of our monetary policy,” she said.
Launching in Q3 2026, the facility provides up to €50 billion in standing euro loans against quality collateral, repayable with interest. It broadens access beyond prior Eastern European limits, excluding only those linked to money laundering, terrorism or sanctions.
“This facility also reinforces the role of the euro,” Lagarde said. “The availability of a lender of last resort for central banks worldwide boosts confidence to invest, borrow and trade in euros, knowing that access will be there during market disruptions.”
Similar to the U.S. Federal Reserve’s FIMA tool, it protects euro securities globally. “These changes aim to make the facility more flexible, broader in terms of its geographical reach and more relevant for global holders of euro securities,” the ECB stated.
With investors questioning dollar strength under U.S. President Donald Trump, reliable euro access could spur demand for eurozone assets from banks beyond the 20-nation bloc.