The ECB raised its 3 key interest rates by 50bps during its July 2022 meeting, the first increase since 2011, ending eight years of negative rates, in an attempt to release the inflationary pressures. The main refinancing rate is now at 0.5%, the marginal lending facility at 0.75% and the deposit facility one at 0.00%. The central bank had initially committed to a 25bps rate hike in the June meeting, but inflationary risks continue on the upside and policymakers considered appropriate to take a larger first step. Inflation in the Euro Area continues to march higher and break record rates, showing no signs of peaking, and approaching double-digits. The central bank also said that further normalisation of interest rates will be appropriate in the upcoming meetings. At the same time, the Transmission Protection Instrument (TPI) was approved, aiming to stabilize the bond market. The scale of TPI purchases depends on the severity of the risks and are not restricted ex ante. source: European Central Bank

Interest Rate in the Euro Area averaged 1.70 percent from 1998 until 2022, reaching an all time high of 4.75 percent in October of 2000 and a record low of 0 percent in March of 2016. This page provides - Euro Area Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Euro Area Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on August of 2022.

Interest Rate in Euro Area is expected to be 0.75 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Euro Area Interest Rate is projected to trend around 1.75 percent in 2023 and 1.50 percent in 2024, according to our econometric models.

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Euro Area Interest Rate



Calendar GMT Actual Previous Consensus TEForecast
2022-04-14 11:45 AM ECB Interest Rate Decision 0.0% 0.0% 0% 0.0%
2022-06-09 11:45 AM ECB Interest Rate Decision 0% 0% 0% 0%
2022-07-21 12:15 PM ECB Interest Rate Decision 0.5% 0% 0.25% 0.25%
2022-09-08 12:15 PM ECB Interest Rate Decision 0.75%
2022-09-08 12:45 PM ECB Press Conference
2022-09-21 07:00 AM ECB Non-Monetary Policy Meeting


Related Last Previous Unit Reference
Interest Rate 0.50 0.00 percent Jul 2022
Money Supply M1 11567388.00 11536231.00 EUR Million Jun 2022
Money Supply M2 15068115.00 14996203.00 EUR Million Jun 2022
Money Supply M3 15850535.00 15764395.00 EUR Million Jun 2022
Central Bank Balance Sheet 8745981.00 8764480.00 EUR Million Aug 2022
Foreign Exchange Reserves 82.37 80.52 USD Billion Jun 2022
Loans to Private Sector 4993023.00 4942673.00 EUR Million Jun 2022
Lending Rate 0.75 0.75 percent Aug 2022
Deposit Interest Rate 0.00 -0.50 percent Jul 2022
Loan Growth 4.60 4.60 percent Jun 2022

Euro Area Interest Rate
In the Euro Area, benchmark interest rate is set by the Governing Council of the European Central Bank. The primary objective of the ECB’s monetary policy is to maintain price stability which is to keep inflation below, but close to 2 percent over the medium term. In times of prolonged low inflation and low interest rates, ECB may also adopt non-standard monetary policy measures, such as asset purchase programmes. The official interest rate is the Main refinancing operations rate.
Actual Previous Highest Lowest Dates Unit Frequency
0.50 0.00 4.75 0.00 1998 - 2022 percent Daily

News Stream
ECB Raises Rates by 50bps
The ECB raised its 3 key interest rates by 50bps during its July 2022 meeting, the first increase since 2011, ending eight years of negative rates, in an attempt to release the inflationary pressures. The main refinancing rate is now at 0.5%, the marginal lending facility at 0.75% and the deposit facility one at 0.00%. The central bank had initially committed to a 25bps rate hike in the June meeting, but inflationary risks continue on the upside and policymakers considered appropriate to take a larger first step. Inflation in the Euro Area continues to march higher and break record rates, showing no signs of peaking, and approaching double-digits. The central bank also said that further normalisation of interest rates will be appropriate in the upcoming meetings. At the same time, the Transmission Protection Instrument (TPI) was approved, aiming to stabilize the bond market. The scale of TPI purchases depends on the severity of the risks and are not restricted ex ante.
2022-07-21
ECB to Raise Rates for 1st Time in Over a Decade
The ECB is expected to raise interest rates for the first time in eleven years during its July 2022 meeting, with a 50bps rate hike seen as increasingly likely instead of a 25bps increase the central bank initially committed to in June. Inflation in the Euro Area continues to march higher and break record rates, showing no signs of peaking, and approaching double-digits. At the same time, the ECB is set to unveil its Anti-Fragmentation Tool, a new bond-buying scheme that aims to stabilize the bond market and avoid big jumps and disparities in borrowing costs across countries. The size, kind of asset purchases, duration and the circumstances and conditions member states will need to observe to benefit from it will be keenly watched. Last month, the ECB said it would end net asset purchases under its APP as of July 1st 2022 and that it will raise key ECB interest rates by 25 bps in July.
2022-07-21
ECB Policymakers Considered Bigger Rate Hike in July
Most ECB policymakers favored a 25bps rate hike in July but some officials preferred to keep the door open for a larger increase, minutes from the ECB June Monetary Policy meeting showed. Still, they concluded that a 25bps increment was a proportionate first step and that opening the door to a larger increase in September would allow the central bank to benefit from updated projections and from observing the impact of the first rate hike on financial conditions over the summer. The ECB said during its June meeting that it would end net asset purchases under its APP as of July 1st 2022 and that it will raise key ECB interest rates by 25 bps in July. During an emergency meeting some days later, the central bank announced the preparation of a new anti-fragmentation tool to help tighten widening spreads among countries such as Italy and Spain where bond yields soared since the central bank took a more hawkish stance.
2022-07-07