The European Central Bank will decide on Thursday whether to raise its main interest rate to a record high as its final step in combating inflation or to take a break if the economy deteriorates.
The central bank of the eurozone’s 20 member countries is in a pickle. Even after nine straight rate rises, prices are growing at a rate that is more than double the 2% objective and are not anticipated to slow for another two years.
Higher borrowing prices throughout most of the world, along with China’s economic malaise, are weighing on economic development, with a eurozone recession becoming a definite prospect.
Source: Firstpost
