Money for Nothing
With interest rates close to zero throughout the eurozone – and expected to remain low for quite some time – debt-service has become a lot easier, even for countries like Greece and Spain. As a result, the Maastricht Treaty’s cap on public debt – and the "fiscal compact" adopted to reinforce it – is meaningless.
https://prosyn.org/zr5U6q7
BRUSSELS – The developed world seems to be moving toward a long-term zero-interest-rate environment. Though the United States, the United Kingdom, Japan, and the eurozone have kept central-bank policy rates at zero for several years already, the perception that this was a temporary aberration meant that medium- to long-term rates remained substantial. But this may be changing, especially in the eurozone.