ECB holds interest rate as eurozone’s slow recovery continues

05 September 2013 12:46  [Source: ICIS news]

LONDON (ICIS)--The European Central Bank (ECB) on Thursday held its key interest rate at 0.50% as the eurozone economy slowly gathers pace.

The bank has held the interest rate at the same level since May 2013, when it was cut by 0.25% in a bid to stabilise the European recovery.

Growth figures for the eurozone have continued to improve in recent months. The latest purchasing managers’ index (PMI) data from analyst Markit for the bloc’s manufacturing sector showed growth levels of 51.4 in August, a 26-month high, and a significant increase on the previous month’s figure of 50.4. All PMI figures above 50.0 indicate economic expansion.

The Organisation for Eonomic Co-operation and Development (OECD) also noted this week that the region has emerged from recession overall, despite persistent weak output in some parts of the eurozone. The economic body predicted that German GDP would be 0.7% this year, while the French economy would grow by 0.3%. Another key eurozone economy, Italy, is likely to contract by 1.8% in 2013, however, the OECD added.

By: Tom Brown
+44 208 652 3214

AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index