Business

ECB keeps policy unchanged

Sep 11, 2020

Frankfurt (Germany), September 11: The European Central Bank has decided to stay the course on interest rates and its emergency coronavirus-stimulus program.
The ECB's Governing Council reached the decision on Thursday. The central bank of the common-currency bloc will keep the rate on deposits from financial institutions at minus half a percent.
It will continue its 1.35-trillion-euro asset-purchase program to help offset the impact of the pandemic.
The ECB will also maintain its quantitative-easing monetary policy, buying government bonds and other assets at the current pace.
The eurozone's real GDP for the April-to-June period contracted by 11.8 percent from the previous quarter.
The ECB confirmed it will take all necessary measures, while closely monitoring the pandemic situation.
European Central Bank President Christine Lagarde said, "Incoming data and survey results indicate a continued recovery of the euro-area economy and point to a strong rebound in GDP growth in the third quarter."
The central bank has revised up its growth forecast for this year. It now expects the eurozone's GDP will shrink by 8 percent. The previous outlook in June was minus 8.7 percent.
Source: NHK World