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Interest rates fell in the first half of 2009, reducing interest expenses and contributing to a reduced net loss.
The ECB now has considerable scope for reducing interest rates.
Loan modifications entail freezing or reducing interest rates and may also include balance reductions.
In normal times, the Fed can bolster aggregate demand by reducing interest rates.
Changing the terms of the mortgages, they contend, can hurt investors by reducing interest payments.
However, further extending terms and reducing interest rates is an option once the new programme has been successfully reviewed.
Domestic creditors have also promised to provide $2.35 billion in trade finance, in addition to reducing interest rates.
Most analysts expect the Fed to switch its stance toward eventually reducing interest rates next year if the slowdown persists.
When banks buy new securities, the newly created money flows through the system, raising asset prices and reducing interest rates.
And other, less drastic options like reducing interest rates and extending loan maturities are also being considered.
They also eased the conditions on Greece's rescue loans by reducing interest rates and extending repayment terms.
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