ECB leaves interest rates unchanged, focuses on stimulus plans

REUTERS
FRANKFURT
Published 06.11.2014 14:56
Updated 06.11.2014 15:26
ECB leaves interest rates unchanged, focuses on stimulus plans

The European Central Bank left interest rates unchanged on Thursday, holding them at record lows while it rolls out new stimulus measures, which it hopes will stave off the twin threats of deflation and economic stagnation.

The decision to leave rates at record lows was widely expected after the ECB cut them to rock-bottom levels in September and the bank's president, Mario Draghi, then stated that they had hit "the lower bound".

At Thursday's meeting, the ECB left its main refinancing rate at 0.05 percent.

It also kept the rate on bank overnight deposits at -0.20 percent, which means that banks pay to park funds at the central bank, and held its marginal lending facility - or emergency borrowing rate - at 0.30 percent.

Markets now turn their attention to Draghi's 1330 GMT news conference, which investors will listen to closely for any hints that the ECB could expand its purchase programme to include other assets such as corporate bonds.

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