Euro Area Interest Rate 1998-2014 | Data | Chart | Calendar | Forecast

At the meeting held on December 4th, the Governing Council of the ECB decided that 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 0.05%, 0.30% and -0.20% respectively. Interest Rate in the Euro Area averaged 2.40 Percent from 1998 until 2014, reaching an all time high of 4.75 Percent in October of 2000 and a record low of 0.05 Percent in September of 2014. Interest Rate in the Euro Area is reported by the European Central Bank.

      Forecast    
Euro Area Interest Rate


Actual Previous Highest Lowest Dates Unit Frequency
0.05 0.05 4.75 0.05 1998 - 2014 percent Daily
In the Euro Area, interest rate decisions are taken by the Governing Council of the European Central Bank. The primary objective of the ECB’s monetary policy is to maintain price stability. The ECB’s Governing Council has defined price stability as "a year-on-year increase in the Harmonised Index of Consumer Prices (HICP) for The Euro Area of below 2%. This page provides - Euro Area Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Content for - Euro Area Interest Rate - was last refreshed on Saturday, December 20, 2014.


ECB Keeps Rates on Hold


The European Central Bank kept interest rates unchanged at record lows and said that monetary stimulus, the expansion of the balance sheet and the outlook for price developments will be only reassess early next year. The bank has also sharply lowered its economic growth forecasts, and stressed that the risks remain on the "downside".

Extracts from the Introductory statement to the press conference by Mario Draghi, President of the ECB:

Based on our regular economic and monetary analyses, and in line with our forward guidance, we decided to keep the key ECB interest rates unchanged. As regards our non-standard monetary policy measures, we have started purchasing covered bonds and asset-backed securities. These purchase programmes will last for at least two years. Next week, we will conduct the second targeted longer-term refinancing operation, to be followed by six further operations until June 2016. Taken together, our measures will have a sizeable impact on our balance sheet, which is intended to move towards the dimensions it had at the beginning of 2012.

In the coming months, our measures will further ease the monetary policy stance more broadly, support our forward guidance on the key ECB interest rates and reinforce the fact that there are significant and increasing differences in the monetary policy cycle between major advanced economies. However, the latest euro area macroeconomic projections indicate lower inflation, accompanied by weaker real GDP growth and subdued monetary dynamics.


In this context, early next year the Governing Council will reassess the monetary stimulus achieved, the expansion of the balance sheet and the outlook for price developments. We will also evaluate the broader impact of recent oil price developments on medium-term inflation trends in the euro area. Should it become necessary to further address risks of too prolonged a period of low inflation, the Governing Council remains unanimous in its commitment to using additional unconventional instruments within its mandate. This would imply altering early next year the size, pace and composition of our measures. 


Real GDP in the euro area rose by 0.2%, quarter on quarter, in the third quarter of this year. This was in line with earlier indications of a weakening in the euro area’s growth momentum, leading to a downward revision of the outlook for euro area real GDP growth in the most recent forecasts. The latest data and survey evidence up to November confirm this picture of a weaker growth profile in the period ahead.


These elements are reflected in the December 2014 Eurosystem staff macroeconomic projections for the euro area, which foresee annual real GDP increasing by 0.8% in 2014, 1.0% in 2015 and 1.5% in 2016. Compared with the September 2014 ECB staff macroeconomic projections, the projections for real GDP growth have been revised substantially downwards. Downward revisions were made to the projections for both domestic demand and net exports.



ECB | anna@tradingeconomics.com
12/4/2014 2:11:20 PM


Recent Releases

ECB Considers Buying Sovereign Bonds
The European Central Bank pledged it is ready to buy government bonds if inflation in the Euro Area fails to rise as anticipated, president Mario Draghi said in a speech during the European Parliament’s Economic and Monetary Affairs Committee meeting. Published on 2014-11-17

ECB Leaves Rates Unchanged
The European Central Bank left its benchmark interest rate unchanged at a record low 0.05 percent on November 6th. Policymakers also said further stimulus measures were being prepared for use if needed. Published on 2014-11-06


Calendar GMT Event Actual Previous Consensus Forecast (i)
2014-11-06 01:30 PM
ECB Press Conference 
2014-12-04 12:45 PM
ECB Interest Rate Decision 
0.05% 0.05% 0.05% 0.05%
2014-12-04 01:30 PM
ECB Press Conference 
2015-01-22 12:45 PM
ECB Interest Rate Decision 
0.05% 0%
2015-01-22 01:30 PM
ECB Press Conference 
2015-03-05 12:45 PM
ECB Interest Rate Decision 
0%


Euro Area Money Last Previous Highest Lowest Unit
Interest Rate 0.05 0.05 4.75 0.05 percent [+]
Interbank Rate 0.08 0.08 11.82 0.08 percent [+]
Money Supply M1 5746629.00 5693668.00 5746629.00 444072.00 EUR Million [+]
Money Supply M2 9503797.00 9496611.00 9503797.00 1070326.00 EUR Million [+]
Money Supply M3 10134014.00 10107719.00 10134014.00 1097365.00 EUR Billion [+]
Central Bank Balance Sheet 2038091.00 2053892.00 3102227.00 692641.00 EUR Million [+]
Foreign Exchange Reserves 330113.00 329372.00 340247.00 178392.00 USD Million [+]
Loans to Private Sector 10430510.00 10443974.00 11104492.00 3241223.00 EUR Million [+]


Interest Rate Reference Previous Highest Lowest Unit
Australia 2.50 Dec/14 2.50 17.50 2.50 percent [+]
Brazil 11.75 Dec/14 11.25 45.00 7.25 percent [+]
Canada 1.00 Dec/14 1.00 16.00 0.25 percent [+]
China 5.60 Nov/14 6.00 10.98 5.31 percent [+]
Euro Area 0.05 Dec/14 0.05 4.75 0.05 percent [+]
France 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Germany 0.05 Dec/14 0.05 4.75 0.05 percent [+]
India 8.00 Dec/14 8.00 14.50 4.25 percent [+]
Indonesia 7.75 Dec/14 7.75 12.75 5.75 percent [+]
Italy 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Japan 0.00 Dec/14 0.00 9.00 0.00 percent [+]
Mexico 3.00 Dec/14 3.00 9.25 3.00 percent [+]
Netherlands 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Russia 17.00 Dec/14 9.50 17.00 5.00 percent [+]
South Korea 2.00 Dec/14 2.00 5.25 2.00 percent [+]
Spain 0.05 Dec/14 0.05 4.75 0.05 percent [+]
Switzerland -0.25 Dec/14 0.00 3.50 -0.25 percent [+]
Turkey 8.25 Nov/14 8.25 500.00 4.50 percent [+]
United Kingdom 0.50 Dec/14 0.50 17.00 0.50 percent [+]
United States 0.25 Dec/14 0.25 20.00 0.25 percent [+]