by AIB Treasury's Economic Research Unit
 

The October meeting of the ECB’s Governing Council saw the central bank cut interest rates for a third time this year. It reduced rates by 25bps, with the Deposit rate lowered to 3.25%, while the Re-fi rate was decreased to 3.40%. Today’s policy easing represents the first consecutive rate cuts from the ECB in 13 years, as it also lowered rates at its previous meeting in September. Prior to this, it commenced its easing cycle in June, while it kept rates on hold at its July meeting. Today’s decision by the ECB to cut rates was unanimous.


 
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