Monetary policy: ECB leaves key interest rate at 2.5 percent for the time being despite high inflation

Inflation in the euro area is at its highest level in three years. The ECB is refraining from raising interest rates again for the time being. But this step could come soon.

ECB in Frankfurt am Main: Inflation is well above the two percent target. Photo: dpa

Frankfurt. After the US Federal Reserve, the European Central Bank (ECB) is also refraining from raising interest rates further for the time being. The ECB decided on Thursday to leave the deposit rate for banks, which determines savings and loan interest, at 2.5 percent.

Similar to the Federal Reserve (Fed) the day before, market participants and observers had largely expected the ECB to pause on interest rates. Given the current situation, it is likely that key interest rates will continue to rise shortly before Christmas in both the USA and the Eurozone.

A few hours before the decision, ECB President Christine Lagarde announced her early departure from the central bank. The Frenchwoman will leave the ECB in February 2027, nine months before the regular end of her term of office.

Lagarde's withdrawal is likely to be a central topic at the press conference from 2:45 p.m. As usual, you can follow this in the live blog on our website.