[A]nalysts said the jury was still out on how effectively the ECB’s record cash injection would boost the broader economy, as much of the money had so far been parked back at the ECB.

The central bank said the amount placed in its overnight deposit facility on Friday had soared to €236.2bn. This compared with €7.4bn on Wednesday before the 12-month injection had had time to filter through.

Don Smith, economist at inter-dealer broker Icap, said: “This shows that the ECB’s liquidity operation has been successful in bringing [Euro libor] rates down, but we’ll have to see whether it leads to more activity in terms of lending.

“Banks typically hold back from interbank lending in the run-up to the end of the half-year, which is today. We should get a clearer picture at the end of the week.”

Lena Komileva, economist at inter-dealer broker Tullet Prebon, said: “We still don’t know where the extra liquidity from the ECB will end up. If banks use it as a carry trade to buy government bonds, instead of easing credit conditions for companies and individuals and preventing defaults, then it will not stimulate the broader economy. This would be the route to a liquidity trap."