The European Central Bank’s governing council has kept interest rates unchanged, as expected.
The ECB’s rate on its main refinancing operations, which provide the bulk of liquidity to the banking system, is at 4.5%. Its deposit rate, which is paid on commercial bank deposits, is at 4%. The marginal lending facility, which offers overnight credit to banks, is at 4.75%.
It is the third-successive meeting the central bank has left eurozone interest rates unmoved.
The ECB has enacted 450 basis points - 4.5 percentage points - worth of hikes during the current cycle.
The central bank explained: "Tight financing conditions are dampening demand, and this is helping to push down inflation."