ECB rate increase

ECB Raises Rate to Highest Since March 2009

By Gabi Thesing

The European Central Bank raised interest rates to the highest in more than two years to keep up its fight against inflation as the region’s sovereign debt crisis persists.
Officials meeting in Frankfurt today increased the benchmark interest rate by 25 basis points to 1.5 percent, matching forecasts by all 55 economists in a Bloomberg News survey. That’s the highest since March 2009. The central bank will raise borrowing costs further in October, according to a separate survey.
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Comment: Beginning of a new cycle?