ECB Holds Rates Unchanged

The European Central Bank (ECB) has decided to keep its rates steady, with the deposit facility, main refinancing operations, and marginal lending facility remaining at 2.00%, 2.15%, and 2.40%, respectively. This decision comes as the bank observes a continued decline in domestic price pressures and a slower pace of wage increases.

Economic Resilience Amid Challenges

Despite the challenging global environment, the ECB notes the economy's resilience. However, it cautions that the situation remains uncertain, largely due to ongoing global trade disputes.

Gradual Decline in Purchase Programmes

The ECB also announced the gradual and predictable decline of the Asset Purchase Programme (APP) and Pandemic Emergency Purchase Programme (PEPP). This adjustment reflects the Eurosystem's reduced reliance on primary payments from maturing securities.