FRANKFURT, Germany (AP) — The European Central Bank left its key interest rate unchanged Thursday as inflation remains under control and European businesses weather the impact of higher U.S. tariffs better than previously feared.
The bank’s deposit rate has stayed at 2% now for the third meeting in a row. The bank has entered a holding pattern after cutting the rate from 4% to snuff out double-digit inflation caused by the rebound from the pandemic and higher energy prices.
A slightly brighter outlook has removed pressure to enact another cut, although growth remains modest.
While the central bank has done its job getting inflation under control, growth concerns are now focused more broadly on Europe’s economic competitiveness in areas beyond the control of the ECB. A report by former E

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