Economy

ECB to rein in interest by 1% this year in rate cut spree from June, analysts predict

Economists are anticipating that the lender will lower interest rates four times in 2024 as inflation cools

The ECB is currently on hold as it waits to see how the 10 hikes enacted since mid-2022 affect the economy. Picture: Bloomberg

The European Central Bank will lower interest rates four times this year as inflation retreats more quickly than previously anticipated, according to a Bloomberg poll of economists.

The cuts, each of 25 basis points, are expected to kick off in June, with further reductions in September, October and December bringing the deposit rate to 3 per cent. While that’s one more move than expected in last month’s survey, it’s still more conservative than the six, ...