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Macroeconomics  |  September 02, 2010 15:23:01

In September, the ECB left interest rates unchanged


The Governing Council of the European Central Bank decided to second September as expected, and left its key interest rate unchanged at euro 1.00%. The last change occurred in May 2009, when the central bank cut interest rate by a quarter percentage point. ECB's marginal rate while maintaining the 1.75% and deposit rate to 0.25%. Since October 2008, declined the main eurozone interest rate by three and a quarter of a percentage point.

ECB President Jean-Claude Trichet and Vitor Constancio vice president justified the decision at a press conference in Frankfurt at 14:30. Low inflation in the euro area allows the ECB to keep rates low interest long term.Preliminary data for the euro area consumer prices in August announced by slower growth of 0.1% to 1.6%, well below the 2.0% target zone of the central bank.

Most economists expected the ECB updated quarterly economic outlook and extend an emergency measure for banks into next year. Eurostat today in the revised estimates for the second quarter confirmed the 1% increase in euro area GDP, the largest expansion in the last four years.

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