ECB increases interest rates by 0.75% again
The European Central Bank raised interest rates again today; taking another big step in tightening policy to fight off a historic surge in inflation.
The bank decided to raise interest rates by the same value last September, after it announced in July a 50-point increase, which was the first in 11 years; taking the total increase to 2 percentage points over three meetings.
Until July, ECB rates had been in negative territory for eight years.
Worried that rapid price growth is becoming entrenched, the ECB is raising borrowing costs at the fastest pace on record.
