ECB keeps key interest rates unchanged

The European Central Bank (ECB) on Thursday decided to keep the key interest rates for the euro area unchanged.

The European Central Bank is seen next to the river Main in Frankfurt, Germany, Oct. 2, 2019. [File Photo: IC/AP/Michael Probst]

The eurozone base interest rate will remain at 0.00 percent, with the marginal lending rate and deposit rate remaining at 0.25 percent and minus 0.50 percent respectively.

The announcement was made after a meeting of the ECB Governing Council, the last such meeting under the tenure of ECB President Mario Draghi, who will be succeeded by Christine Lagarde from Nov. 1.

The Governing Council reiterated that it expects the key interest rates to remain at their present or lower levels until it has seen the inflation outlook robustly converge to a level sufficiently close to, but below, 2 percent within its projection horizon, and such convergence has been consistently reflected in underlying inflation dynamics.

In its last monetary policy meeting in September, the ECB announced a host of easing measures, including a rate cut and a massive bond-buying program, drawing mixed responses from analysts.

Draghi will appear at a press conference later on Thursday to take questions from the journalists.