The ECB raised interest rates to a record high earlier this year, but unexpectedly benign inflation data over the past few months has all but ruled out further policy tightening.
The European Central Bank (ECB) left interests rates untouched on Thursday.
"The interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 4.50%, 4.75% and 4.00% respectively," read a statement released by the bank Thursday.
It follows after the Bank of England on Thursday held its key interest rate at 5.25% and the US central bank had also frozen borrowing costs on Wednesday.
The ECB also revised its inflation projections and expects to reach its 2% target in approximately two years.
Inflation is projected to reach 2.7% in 2024 rather than the previously projected 3.2%. In 2025, it will dip further to 2.1%, before reaching 1.9 % in 2026.
Source: Dw
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