The European Central Bank plans a 25-basis-point interest rate hike in September, bringing its deposit rate to 2.5%. The move, confirmed by the bank’s governing council, marks another step in its effort to curb inflation across the eurozone.
Rate decision details
The increase will lift the deposit facility rate from 2.25% to 2.5%. The ECB’s main refinancing rate and marginal lending rate will also rise by the same margin. The decision is expected to be formally announced after the council’s September meeting.
Inflation in the euro area has remained stubbornly above the ECB’s 2% target, though recent data shows some moderation. The bank has raised rates steadily over the past year, and this hike continues that pattern.
The ECB did not provide additional guidance on future moves beyond the September increase. Markets will watch for any signals in the accompanying statement or during the press conference following the decision.
