ECB’s Schnabel says bar for another rate cut is very high

Published 11/07/2025, 10:58
ECB’s Schnabel says bar for another rate cut is very high

Investing.com -- The European Central Bank (ECB) is unlikely to cut interest rates again soon as the euro zone economy is performing better than expected and inflation is stable at 2%, according to ECB board member Isabel Schnabel.

In an interview published Friday with financial newswire Econostream, Schnabel stated that current economic conditions do not warrant further monetary easing.

"Inflation is projected to be at 2% and inflation expectations are well anchored," Schnabel said. "In view of this, our interest rates are also in a good place, and the bar for another rate cut is very high."

The ECB board member’s comments suggest the central bank is satisfied with its current monetary policy stance given the economic outlook and inflation targets.

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