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FRANKFURT - The European Central Bank is looking to complete its operational framework review in the next six to nine months and the outcome will determine how much more the bank will need to shrink its balance sheet, ECB President Christine Lagarde said on Wednesday.
Euro zone lenders are sitting on 4 trillion euros of excess liquidity but the ECB is looking to remove much of this and will thus need a new framework for steering short term market rates.
(Reporting by Balazs Koranyi; Editing by Alison Williams)