European Central Bank keeps interest rates unchanged

By Ovunc Kutlu

ANKARA (AA) – The European Central Bank (ECB) on Thursday kept its key interest rates unchanged, despite inflation in Europe rising at its fastest pace since 2008.

“The interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 0.00%, 0.25% and -0.50% respectively,” the ECB said in a statement.

The ECB said it expects the key interest rates “to remain at their present or lower levels until it sees inflation reaching 2%,” and it estimates that inflation will stabilize at that level over the medium-term.

The bank also said its net purchases will continue at a monthly pace of €20 billion (nearly $23.2 billion).