section_path: Overall economic contraction/Economic recovery programmes/Effectiveness
section_name: Effectiveness
paragraph_text: Effectiveness
  
  The PEPP was initially effective in stabilizing financial markets during the pandemic, reducing borrowing costs for governments and corporations while supporting credit flows. Its flexible approach was particularly beneficial for countries such as Greece, which faced heightened debt challenges. By mitigating market fragmentation and ensuring liquidity, the PEPP helped to maintain financial stability across the eurozone. Through the duration of the program, there was a shift from market stability, to fighting inflation. Early evaluations highlighted its role in containing sovereign yield spreads and providing a buffer against the economic downturn. The program was designed to continue until EU governments determined that the COVID-19 period of economic crisis subsided. With this, the EU Governing Council ceased purchases in March 2022, giving the program a two-year active run.