ECB lifts benchmark rate to 2.5% amid energy shock

The ECB has hiked its benchmark rate to 2.5% to combat inflation driven by energy shocks linked to geopolitical tensions. The central bank now forecasts 2026 growth at 0.9%, with inflation expected to average 3.0% this year and decline to 2.5% in 2027.
According to reporting from GN markets/policy (en-US), the ECB has revised its 2026 economic growth forecast upward to 0.9%, while projecting that inflation will average 3.0% this year before moderating to 2.5% in 2027.
Source: GN markets/policy (en-US)The European Central Bank increased its benchmark interest rate by 25 basis points to 2.5% on Thursday. This move targets inflation driven by high oil prices and geopolitical tensions.
Source: GN markets/policy (en-US)






