ECB cuts interest rates to 2.5% amid slowing inflation

Second cut for the year

The European Central Bank has decided to cut interest rates by 25 basis points to 2.5%.

Today's (6 March) cut took place as recent data from Eurostat showed that eurozone inflation declined from 2.5% in January to 2.4% last month. This is the second time this year that the central bank decided to trim rates by 25bps, following another quarter-point cut in January, which brought the deposit facility rate down from 3% to 2.75%. ECB lowers interest rates to 2.75% amid stagnant growth and sticky inflation According to the ECB's Governing Council, the decision to lower the deposit facility rate was based on the bank's "updated assessment of the inflation outlook, the dynam...