Targeting a sustainable recovery with Green TLTROs

Green Total Long-Term Refinancing Operations (TLTROs) are seen to drive banks’ lending towards greener housing. As bank lending will help the EU address the significant strategic challenges climate transition and the COVID-19 pandemic present, the European Central Bank should be assigned a prominent role. The interest rate that the ECB charges banks conditional on how much green loans they issue under the Green TLTRO programme.