ECB may keep interest rates unchanged in December

VTV.vn - With inflation projected to be around 2%, many experts believe the ECB will maintain interest rates at its meeting on December 18th.

ECB bank headquarters. (Source: AFP)

Eurozone inflation forecast to remain near 2% could be a deciding factor for European Central Bank (ECB) officials to keep interest rates unchanged in December 2025.

Consumer prices in the eurozone are forecast to rise about 2.1% year-on-year in November 2025, according to a Bloomberg survey of 29 experts. Core inflation, which excludes volatile factors such as energy, is expected to remain steady at 2.4%.

The final inflation figures, due just before the ECB’s December 18 decision, are likely to reinforce the case for keeping interest rates on hold, allowing policymakers to focus on crucial quarterly economic forecasts that extend out to 2028.

To date, ECB officials have yet to make a concrete decision and have not reached a consensus on future interest rate policy. National reports released on November 28th reflected a clear divergence: inflation in Germany and Spain exceeded forecasts, while France and Italy recorded lower-than-expected results.

Currently, the ECB's Governing Council is looking for signs of upward consumer price pressure. ECB Vice President Luis de Guindos said he sees very limited risk of inflation below target. ECB President Christine Lagarde, who has repeatedly stated that current policy is well-positioned, will present her views at a hearing in Brussels on December 3rd.

The lack of clarity on the ECB’s direction is reflected in the conflicting views of economists, with Bloomberg Economics predicting that inflation in the eurozone will slow in the coming months, creating the basis for a possible rate cut.

Source: https://vtv.vn/ecb-co-the-giu-nguyen-lai-suat-thang-12-100251201161937329.htm