The European Central Bank (ECB) looks set to deliver yet more monetary stimulus next week amid growing criticism of how the world's central banks are handling monetary policy.
At the bank's last monetary policy meeting in January, President Mario Draghi announced that the Governing Council would review and possibly reconsider its stimulus program in early March. On Tuesday, the Italian highlighted increasingly weak inflation trends for the euro zone which only added to expectations that the ECB is ready to act.
"It's likely to be more proactive. I suspect we will see more out of the ECB than we have so far. And (Draghi) will do more," Mohamed El-Erian, chief economic advisor at Allianz, told CNBC at the Global Financial Markets Forum in Abu Dhabi. when asked about the ECB's next meeting on March 10.
A poll of 18 euro money market traders by Reuters on Monday indicated that all now believe the bank will cut its deposit rate further into negative territory. It also showed many thought an increase in its monthly bond-buying program - currently at 60 billion euros ($65 billion) a month - could be on the cards.