European Central Bank Raises Rates by 50 Basis Points
Posted on 02/02/2023
The European Central Bank (ECB) raised interest rates to the highest levels since 2008. ECB raised its three interest rates by half a percentage point, lifting the benchmark deposit rate to 2.5%.
The ECB said in a statement that it would “stay the course in raising interest rates significantly at a steady pace,” and they showed an indication that further rate increases are expected. This would likely include another 50 basis points in March 2023.
The Bank of England also hiked by 0.5%, while the Federal Reserve hiked by 25 basis points. Last week the Bank of Canada hiked its interest rate by 25 basis points to 4.5%.