Third QE round in UK
THE Bank of England has unveiled a third round of electronic- money creation to boost the flagging UK economy.
The bank said it would expand its quantitative easing (QE) programme by £50bn (€59.5bn) over the next three months.
The bank said that it was concerned that the eurozone crisis, together with Chancellor George Osborne's austerity programme and a rationing of credit, will stifle growth in 2012.
It has now pumped £325bn (¤386bn), equivalent to about one-fifth of GDP, into the financial system since Britain plunged into recession three years ago.
The bank's monetary policy committee said the move was justified by the weak prospects for the UK .