ECB's Praet ‘very sceptical’ of Monti bond buy plans

FRANKFURT: The European Central Bank chief economist Peter Praet said he was "very sceptical" of plan being put forward by Italian Prime Minister Mario Monti to use the ECB to buy bonds of debt-strained euro states, echoing the Bundesbank's criticism.

"I am very sceptical about this proposal," Praet told German newspaper Financial Times Deutschland (FTD) in an interview published on Thursday. "The funds would guarantee part of the risks, and we would take the rest on our books."