The European Central Bank (ECB) has signaled growing consideration of rate cuts, according to the accounts of its November meeting. While inflation is expected to ease, mainly due to falling energy prices, officials remain cautious about domestic inflationary pressures, particularly strong wage growth and sluggish labor productivity. Despite the more optimistic inflation projections, the ECB stressed the importance of gathering more data before making policy changes. Policymakers emphasized that any decision on rate cuts would depend on the economic outlook and further evidence of inflationary pressures subsiding, signaling a careful and data-driven approach. source: European Central Bank

The benchmark interest rate In the Euro Area was last recorded at 3.40 percent. Interest Rate in Euro Area averaged 1.85 percent from 1998 until 2024, reaching an all time high of 4.75 percent in October of 2000 and a record low of 0.00 percent in March of 2016. This page provides - Euro Area Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Euro Area Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on November of 2024.

The benchmark interest rate In the Euro Area was last recorded at 3.40 percent. Interest Rate in Euro Area is expected to be 3.15 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Euro Area Interest Rate is projected to trend around 1.90 percent in 2025, according to our econometric models.




Calendar GMT Reference Actual Previous Consensus TEForecast
2024-07-18 12:15 PM ECB Interest Rate Decision 4.25% 4.25% 4.25% 4.25%
2024-09-12 12:15 PM ECB Interest Rate Decision 3.65% 4.25% 3.65% 3.65%
2024-10-17 12:15 PM ECB Interest Rate Decision 3.4% 3.65% 3.4% 3.4%
2024-11-27 08:00 AM ECB Non-Monetary Policy Meeting
2024-11-28 08:00 AM ECB General Council Meeting
2024-12-12 01:15 PM ECB Interest Rate Decision 3.4% 3.15%


Related Last Previous Unit Reference
Central Bank Balance Sheet 6382997.00 6392990.00 EUR Million Nov 2024
Deposit Facility Rate 3.25 3.50 percent Oct 2024
Foreign Exchange Reserves 96.82 92.81 USD Billion Oct 2024
ECB Interest Rate 3.40 3.65 percent Oct 2024
Marginal Lending Rate 3.65 3.90 percent Oct 2024
Loans to Households YoY 0.70 0.60 percent Sep 2024
Loans to Non-financial Corporations 5160298.00 5132916.00 EUR Million Sep 2024
Longer-Term Refinancing Operations 49162.00 85.50 EUR Billion Oct 2024
Money Supply M0 4792212.00 4840821.00 EUR Million Sep 2024
Money Supply M1 10398104.00 10340397.00 EUR Million Sep 2024
Money Supply M2 15405036.00 15306305.00 EUR Million Sep 2024
Money Supply M3 16548705.00 16434381.00 EUR Million Sep 2024
Refinancing Operations 7.79 3.03 EUR Billion Oct 2024

Euro Area Interest Rate
In the Euro Area, benchmark interest rate is set by the Governing Council of the European Central Bank. The primary objective of the ECB’s monetary policy is to maintain price stability which is to keep inflation below, but close to 2 percent over the medium term. In times of prolonged low inflation and low interest rates, ECB may also adopt non-standard monetary policy measures, such as asset purchase programmes. The official interest rate is the Main refinancing operations rate.
Actual Previous Highest Lowest Dates Unit Frequency
3.40 3.65 4.75 0.00 1998 - 2024 percent Daily


News Stream
ECB Discusses Future Rate Cuts: Minutes
The European Central Bank (ECB) has signaled growing consideration of rate cuts, according to the accounts of its October meeting. While inflation is expected to ease, mainly due to falling energy prices, officials remain cautious about domestic inflationary pressures, particularly strong wage growth and sluggish labor productivity. Despite the more optimistic inflation projections, the ECB stressed the importance of gathering more data before making policy changes. Policymakers emphasized that any decision on rate cuts would depend on the economic outlook and further evidence of inflationary pressures subsiding, signaling a careful and data-driven approach.
2024-11-14
ECB Cut Rates by Another 25 bps as Expected
The ECB lowered its three key interest rates by 25 bps in October 2024, as expected, following similar moves in September and June. The deposit facility, main refinancing operations, and marginal lending facility rates will now be 3.25%, 3.40%, and 3.65%, respectively. This decision stems from an updated assessment of inflation, which shows disinflation progressing well. In September, inflation in the Eurozone fell below the ECB’s target of 2% for the first time in more than three years. While inflation is expected to rise in the short term, it should decline toward the 2% target in 2025. Wage growth remains high, but pressures are easing. The ECB remains committed to restrictive rates to ensure inflation reaches its medium-term goal, using a data-driven, flexible approach without committing to a specific rate path.
2024-10-17
ECB to Cut Rates by Another 25bps
The ECB is expected to lower borrowing costs by 25bps in October 2024, following similar moves in September and June. This would bring the key deposit rate to 3.25%, the main refinancing operations rate to 3.65% and the lending rate to 3.4%. Investors are also expecting three further quarter point reductions through March 2025, including December. Inflation in the Eurozone fell below the ECB’s target of 2% for the first time in more than three years in September. It now stands at 1.7%. Additionally, there are increasing signs of a weakening Eurozone economy, with GDP growth being revised down to a modest 0.2% in Q2 and PMIs continuing to show a contraction in the manufacturing sector and slowing services growth.
2024-10-17