ECB to reduce interest rate by 0.25%

After consistently raising its interest rates since 2019, the European Central Bank is set to reduce its interest rate by 0.25% from 4.50% to 4.25%.

The marginal lending facility rate will also decline from 4.75% to 4.50% and the deposit facility from 4% to 3.75%.

It remains to be seen if other major central banks such as the Bank of England or the Federal Reserve follow suit.