The European Central Bank (ECB) announced its interest rate decision at 15.30. The ECB increased the policy rate by 25 basis points to 4.50%.
The fact that the European region is still far from the target inflation figures causes the ECB to continue increasing interest rates. Authorities gave messages to continue the fight against inflation, taking the risk of economic slowdown in this process.
Interest Rate Increases End!
However, after the tenth interest rate decision in a row, the comment that 4.50% was sufficient was made. According to the statements reflected in the press, the European Central Bank does not plan to make another interest rate increase.
“The Governing Council agreed that current interest rates, if maintained for a long period of time, would keep inflation down.”
Although the inflation forecasts were raised, the ECB may have wanted to prevent a sharp slowdown by sharing this view.
