The European Central Bank kept its benchmark deposit rate unchanged at 2% in Thursday’s policy meeting.
The rate has stayed at this level since June, after eight cuts from a 4% peak in 2024.
Other main rates were also held steady: refinancing at 2.15% and marginal lending at 2.40%.
ECB President Christine Lagarde said inflation is stabilizing at the 2% medium-term target.
Flash estimates showed eurozone prices rose 2.1% in August, following 2% in June and July.
The EU-US trade agreement offers more economic clarity, though its impact is still being assessed.
Political uncertainty in France and weak global demand continue to challenge the eurozone economy.
Oxford Economics predicts 0.8% growth in 2026, with inflation falling below 2% next year.
Analysts say the ECB may cut rates once more in December, though holding steady is possible.
Lagarde will provide an update on fiscal developments in a press briefing later today.
ECB Holds Key Deposit Rate at 2% Amid Stable Inflation
Andrew Rogers
Andrew Rogers is a freelance journalist based in Chicago, USA, with over 10 years of experience covering Politics, World Affairs, Business, Health, Technology, Finance, Lifestyle, and Culture. He graduated with a degree in Journalism from the University of Florida. Over the years, he has contributed to leading outlets such as The New York Times, CNN, and Reuters. Recognized for his sharp reporting and thoughtful analysis, Andrew delivers accurate and timely news that keeps readers updated on key national and global developments.
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