ECB closely monitoring financial markets following UK referendum

In the wake of the UK referendum on the country's membership of the European Union, the European Central Bank and the other central banks of the Eurosystem will closely monitor developments in financial markets. In a press release approved by the Governing Council, the ECB has stated that it is in close contact with other central banks and stands ready to provide additional liquidity, if needed, in euro and foreign currencies.

It adds that the ECB has prepared for this contingency in close contact with the banks that it supervises and considers the euro-area banking system to be resilient in terms of capital and liquidity.

The press release goes on to state that the ECB and the other central banks of the Eurosystem will continue to fulfil their responsibilities to ensure price stability and financial stability in the euro area.

This announcement came after a majority vote by the UK general public to leave the European Union.