2024-03-26 14:03:45
Consensus is growing in the Governing Council of the European Central Bank (ECB) to cut interest rates in June if inflation develops as forecast. This was stated by the governor of the central bank of Greece, Yannis Stournaras, who is also a member of the body that determines the interest rate policy in the Eurozone, BTA reported, according to Reuters.
Last week, the governor of the central bank of Germany “Bundesbank” (Bundesbank) Joachim Nagel expressed a similar opinion. He pointed out that “the likelihood of a rate cut before the summer break is increasing” in view of the continued fall in inflation in the eurozone.
On March 7, the ECB kept its main interest rates at record high levels for the fourth time in a row. Thus, the interest rate on the main refinancing operations remained at the level of 4.5 percent – this is the interest that banks pay for the financial resources they borrowed from the ECB for a period of one week. The interest rate on the marginal credit facility remains at the level of 4.75 percent, and the interest rate on the deposit facility – at the level of 4 percent.