Central Bank Decisions
European Central Bank Raises Key Interest Rates by 25 Basis Points
10 Sep 2026
The ECB Governing Council increased its three key interest rates by 25 basis points, effective September 16, 2026, citing persistent inflation pressures stemming from the Middle East conflict. The deposit facility rate rises to 2.50%, the main refinancing operations rate to 2.65%, and the marginal lending facility to 2.90%.
Why it matters
The decision reflects a hawkish shift to combat inflation that is expected to remain well above the 2% target for an extended period, impacting the Euro's yield attractiveness.