Germany’s top court has ruled that the European Central Bank’s mass bond-buying to stabilise the eurozone partly violates the German constitution.
The ruling relates to sovereign bonds worth trillions of euros bought by the ECB since 2015, but not purchases in the current coronavirus crisis.
The Constitutional Court in Karlsruhe says there is not enough German political oversight in the purchases.
Germany’s Bundesbank carries the most weight in the ECB’s decisions.
Italy is among the countries most reliant now on ECB bond purchases because of the severe economic impact of the coronavirus pandemic.