European Central Bank meeting —

At its 16 December 2021 meeting, the European Central Bank held its policy rate at -0.50%.

Decision

hold — -0.50% to -0.50%

Key passages

The Governing Council judges that the progress on economic recovery and towards its medium-term inflation target permits a step-by-step reduction in the pace of its asset purchases over the coming quarters. But monetary accommodation is still needed for inflation to stabilise at the 2% inflation target over the medium term.

Balances recovery progress against ongoing need for accommodation.

In view of the current uncertainty, the Governing Council needs to maintain flexibility and optionality in the conduct of monetary policy.

Highlights uncertainty, keeps options open for future moves.

Meeting documents

Background reading

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