FRANCOFORTE (GERMANY) (ITALPRESS) – The Governing Council of the ECB decided to keep the three key interest rates unchanged. Its updated assessment confirms that inflation should stabilize at the target of 2% in the medium term. Interest rates on deposits, major refinancing operations and marginal loan operations will remain unchanged at 2,00%, 2.15% and 2.40% respectively. The new projections of Eurosystem experts indicate an overall average inflation of 2.1% in 2025, 1.9% in 2026, 1.8% in 2027 and 2.0% in 2028. For net energy and food inflation, experts predict an average of 2.4% in 2025, 2.2% in 2026, 1.9% in 2027 and 2.0% in 2028. Inflation has been reviewed for 2026, mainly because experts now expect a slower decline in service inflation.
A stronger economic growth is expected than the September projections, mainly driven by domestic demand. Growth has been revised up to 1.4% in 2025, 1.2% in 2026 and 1.4% in 2027, and is expected to remain 1.4% in 2028. The Governing Council is determined to ensure that inflation is set at its 2% target in the medium term. It will adopt a data-based approach and meetings to determine the appropriate orientation of monetary policy. In particular, the decisions of the Governing Council on interest rates will be based on its assessment of the prospects for inflation and the risks surrounding it, in the light of the incoming economic and financial data, as well as the dynamics of underlying inflation and the transmission force of monetary policy. The Governing Council does not undertake to follow a specific route for rates.
– photo IPA Agency –
(ITALPRESS).
