ECB leaves rates unchanged – Business World

The Governing Council decided at Thursday’s meeting to leave interest rates unchanged.

The key interest rate – the minimum bid rate on refinancing procedure – is thus left on 0.00 percent. Deposit interest was left unchanged at 0.40 percent. The ECB announced in a conference call.

Bloomberg News survey expected 69 of the 70 surveyed analysts that the ECB would leave rates unchanged, while one predicted a cut of 10 basis points to -0.10 percent.

as regards deposit interest did 61 of the 64 surveyed analysts that it would be left unchanged, while three predicted a cut of 10 basis points to -0.50 percent.

the refinancing rate was last modified March 10, 2016, when it was lowered by 5 basis points to 0.00 percent. Deposit interest was also changed by 10 March 2016 when it was lowered by 10 basis points to 0.40 percent.

The ECB announces that the interest rates will remain at current levels or lower for a prolonged period, and clearly longer than the program of asset purchases.

the program of asset purchases continues to amount to 80 billion per month and run until March 2017 or longer if necessary, and in any case until it shows a sustained adjustment of the inflation path that is consistent with the ECB’s inflation target.