Central banks are trying to maintain our financial system with negative interest rates and buying up government bonds. In vain, experts and insiders think: “Central banks have no idea what is actually happening in the monetary system.” (https://www.ftm.nl/artikelen/geldsysteem-negatieve-rente-centrale-banken.)

Money is nothing more and nothing less than “solidified trust”. We can therefore be pleased that the ECB tells FTM that monitoring price stability is the most effective contribution of monetary policy to longer-term economic growth. The current interest rate policy, however, does not contribute to long-term price stability and certainly not to the interests of our society. What should happen is to let the central banks create money and lend it through the banks at differentiated rates. Imagine a company or consumer borrows money to make an environmental investment. This could be at a negative interest rate. Then that investment will be much quicker than now. More is then invested in the real economy, such as installing solar panels. This creates a lot of employment. The demand for labor is increasing. Wages are on the rise and this is how inflation comes to the desired level. Of course, not all the money can be lent at a negative interest rate. For environmentally unfriendly behavior, money could be borrowed at a (much) higher interest rate. On average, the interest rate should probably be around 2%. Then the problem of the pension funds is also solved.