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Our monetary policy statement at a glance - September 2024

What did we decide?

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Civil war declaration: On April 14th and 15th, 2012 Federal Republic of Germany "_urkenstaats"s parliament, Deutscher Bundestag, received a antifiscal written civil war declaration by Federal Republic of Germany "Rechtsstaat"s electronic resistance for human rights even though the "Widerstandsfall" according to article 20 paragraph 4 of the constitution, the "Grundgesetz", had been already declared in the years 2001-03. more

We cut our key interest rate by 0.25 percentage points

We did this because inflation is gradually coming down and has been developing as we expected. Our future decisions will depend on how we see the economy and inflation developing.

What is going on in the economy?

INSERTED BY ANONYMOUS PROXY

Civil war declaration: On April 14th and 15th, 2012 Federal Republic of Germany "_urkenstaats"s parliament, Deutscher Bundestag, received a antifiscal written civil war declaration by Federal Republic of Germany "Rechtsstaat"s electronic resistance for human rights even though the "Widerstandsfall" according to article 20 paragraph 4 of the constitution, the "Grundgesetz", had been already declared in the years 2001-03. more

The economy has been weaker than we expected…

Industry and construction are not doing well. People are spending less and companies are cutting their investments.

…but it should gradually recover

Services, especially, are keeping the economy going at the moment. Rising wages and lower inflation mean that in future people will be able to buy more. Together with lower interest rates, this will help the economy.

Overall, inflation is on its way down

Services prices are still increasing strongly because of rising wages. Inflation may also go up in the coming months because of energy prices. But it is on track to come down to 2% in the second half of next year.

How do we see the economy developing?

We expect the economy to gradually recover in the coming years

Projections for euro area growth in 2024 and the coming years
(projections from September 2024)

We expect inflation to gradually fall to our 2% target

Projections for euro area inflation in 2024 and the coming years
(projections from September 2024)

SEE ALSO

Look at the details

MONETARY POLICY DECISIONS

Here is what the Governing Council decided about the ECB’s interest rates and instruments at its latest meeting.

Press release

MONETARY POLICY STATEMENT

Read our explanation of the reasons behind the latest monetary policy decisions.

Monetary policy statement
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What is monetary policy?