ECB: Difference between revisions

March 16, 2023. ECB raises interest rates by 50 basis points(as indicated six weeks ago) while pointing out that "inflation is projected to remain too high for too long." Investors were anticipating a smaller rate increase in light of last week's turmoil in U.S banking sector. ECB noted that the banking sector in Europe is strong , with sufficient capital and liquidity positions but stressed that it will be there to support it in any case. "In any case, the ECB’s policy toolkit is fully equipped to provide liquidity support to the euro area financial system if needed and to preserve the smooth transmission of monetary policy." ECB said in a statement. <ref>https://www.ecb.europa.eu/press/pr/date/2023/html/ecb.mp230316~aad5249f30.en.html