FRANKFURT (Reuters) - The European Central Bank will be able to buy private sector bonds yielding less than its currently -0.5% deposit facility rate under its new, 20 billion euros per month bond purchase scheme, it said on Thursday.

In earlier purchases, only public sector bonds could be bought at yields below the deposit rate.

“This extension takes place with immediate effect and will facilitate the continued smooth implementation of the asset purchase programme and reflects changes in market interest rates relative to the deposit facility rate,” the ECB said.