The European Central Bank cut its key rate to 3.15% amid declining inflation

December 12. /MEDIA TALK/. The European Central Bank today revised down the three main bank rates and cut them by 25 basis points. The deposit rate has been reduced to 3%, the main refinancing rate to 3.15%, and the loan rate to 3.4%. The updated coefficients will be effective from December 18, 2024.


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The decision to reduce is made for the fourth meeting in a row and is based on inflation forecasts. The target set by the regulator at 2% by the end of the year has been achieved, in October it amounted to 1.8%. There is a weakening of the economy and a decrease in consumer and investment activity. According to the forecast, in 2024 the price growth rate in the European Union will reach 2.4%, in 2025 - 2.1%, in 2026 - 1.9%.