Interest Rates

ECB hikes interest rates again in further bid to curb inflation

New forecasts by ECB staff presented on Thursday had been billed as a key source of input for the decision

  • September 14, 2023
Christine Lagarde, the ECB President, last month avoided any signal of her intentions for the decision to hike again. Picture: Thomas Lohnes/Getty Images

The European Central Bank raised interest rates again, acting for the 10th consecutive time to choke inflation out of the euro zone’s increasingly feeble economy.

In the most finely balanced decision since they began lifting borrowing costs last year, officials increased the deposit rate by 25 basis points to a record 4 per cent and said the new level of constriction will make a “substantial contribution” to bringing inflation under control.

Economists have deemed this ...