ECB Holds Policy Rate Steady... "Lagarde Announces Policy Review"

[Asia Economy Reporter Jeong Hyunjin] The European Central Bank (ECB) froze its policy interest rate on the 23rd (local time).

On the day, the ECB held a monetary policy meeting in Frankfurt, Germany, and announced in a press release that it would maintain the benchmark interest rate at the current 0%, and keep the deposit rate and marginal lending rate at the current -0.50% and 0.25%, respectively.

The ECB stated that it expects to keep interest rates at the current level or lower until inflation sufficiently converges to the target level of 2%.

Regarding the net asset purchases of 20 billion euros per month (approximately 26 trillion won) that began in November last year, it added that these will continue until just before the interest rate hike.

Christine Lagarde, ECB President since November last year, is scheduled to announce policy review matters for setting a new direction for the ECB this afternoon. This policy review is the first to be conducted since 2003.