Dr. Constantin Gurdgiev:

Technically, if one goes back to the long-term refinancing operations, LTROs, that the ECB has conducted before the quantitative easing, most of the money was locked up. The banks did pretty much the same except instead of using government bonds, they used the commercial assets which they deposited as collateral and they borrowed from the ECB. In regard to the money they borrowed from the ECB, they either put in their national government bonds or they deposited the rest of it with the ECB. That is the co-liquidity trap. There is no real money going into the real economy.