EU maintains interest rate at 4% in the Eurozone

The ECB (European Central Bank) decided this Thursday (March 7, 2024) to maintain the Euro Zone interest rate percentage at 4%. As a result, refinancing, loan and deposit rates remain at 4.5%, 4.75% and 4%, respectively. Here is the full statement (PDF – 145 kB, in English). According to the institution, the decision was taken despite the drop in inflation. The rate was 2.8% in January. “[…] domestic pressures on prices remain high, due in part to strong wage growth.”, said the ECB. The European Central Bank also stated that current interest rates are at levels that, “if maintained for a sufficiently long period, they will make a substantial contribution” to achieve the 2% inflation target.