The European Central Bank’s Governing Council kept the deposit facility, main refinancing and marginal lending rates unchanged at 2.00%, 2.15% and 2.40%, arguing that price dynamics remain on course to stabilise at the 2% medium-term target while growth is buttressed by low unemployment, solid private-sector balance sheets, rising defence and infrastructure spending and the lagged support of earlier easing, even as global trade-policy uncertainty and geopolitical tensions cloud the outlook. After cutting the deposit rate by a cumulative 75 bp between January and June 2025, the Council has held it at 2.00% since September. Policy implementation continues to tighten passively via the measured runoff of the APP and PEPP portfolios as maturing principal is no longer reinvested. Reaffirming its data-dependent, meeting-by-meeting approach and eschewing any pre-set path, the Governing Council repeated that it stands ready to adjust all instruments and, if necessary, activate the Transmission Protection Instrument to safeguard policy transmission and secure medium-term price stability.
European Central Bank 2026-02-05
ECB keeps rates unchanged: deposit 2.00%, MRO 2.15%, marginal lending 2.40%
European Central Bank left the deposit facility, main refinancing and marginal lending rates at 2.00%, 2.15% and 2.40%, respectively, citing stable progress toward its 2% inflation goal and resilient growth drivers, while passive balance-sheet runoff under APP and PEPP continues. The Governing Council reiterated its data-dependent, meeting-by-meeting stance and willingness to use all tools, including the Transmission Protection Instrument, to ensure policy transmission.