The Board of Governors of the European Central Bank (ECB) at its meeting today kept the base interest rate at a record low of 0%, as expected by most experts. The rate has been at this level since March 2016. The rate on deposits was also kept at the level of -0.5%, while the margin rate remained at the level of 0.25%. The European regulator said it will keep all rates at or below current levels until inflation in Europe approaches the 2% target. In addition to the rate, the Central Bank also left unchanged the parameters of the special asset purchase program Pandemic emergency purchase program (PEPP). To date, the volume of the program is 1.35 trillion euros, and it will operate at least until the end of June 2021.
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