European Central Bank keeps interest rates steady

By Tuba Sahin

ANKARA (AA) - The European Central Bank has decided to hold key interest rates unchanged.

Interest rates on the main refinancing operations, the marginal lending facility, and the deposit facility were kept steady at zero percent, 0.25 percent and 0.40 percent, respectively, according to a statement from the bank after a Governing Council meeting on Thursday.

"The Governing Council expects the key ECB interest rates to remain at their present levels at least through the summer of 2019, and in any case for as long as necessary to ensure the continued sustained convergence of inflation to levels that are below, but close to, 2 percent over the medium term," the statement read.

The bank added that it will stop making net purchases under the asset purchase program (APP) after December.

"The Governing Council intends to reinvest the principal payments from maturing securities purchased under the APP for an extended period of time after the end of the net asset purchases, and in any case for as long as necessary to maintain favourable liquidity conditions and an ample degree of monetary accommodation," it said.