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ECB Holds Rates for Fourth Straight Meeting

The decision reflects inflation hovering near the 2% goal, giving policymakers room to pause.

Overview

  • The deposit facility rate stays at 2.00% and the main refinancing rate remains at 2.15%.
  • Eurostat reports November eurozone inflation at 2.1% year over year, close to the ECB’s medium‑term target.
  • Euro area real GDP grew 0.3% quarter on quarter in Q3, indicating a gradual recovery in activity.
  • Financial markets broadly expected no change in policy at this meeting.
  • The pause follows an easing cycle from a 4.0% deposit‑rate peak last year, with eight cuts completed by June, and President Christine Lagarde recently signaled another upward revision to the outlook in December.