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ECB maintains key interest rate at 2%, Bank of England cuts 0.5%, down to 1%

de Radu Rizea
Joi, 5 februarie 2009, 15:51 English | Business

The European Central Bank (ECB) maintained on Thursday the key interest rate at 2%, but analysts expect the rate to decrease in March. At the same time, the Bank of England decreased the key interest rate from 1.5 to 1%, in the attempt to help the economy rise above the recession by encouraging consumption, Reuters informs.

The 1% interest is the lowest since the Bank of England was born. It is the fifth consecutive decrease of the key interest rate in the UK. In October, it dropped from 5 to 4.5%, in November - from 4.5 to 3%, in December from 3 to 2%, and in January, from 2 to 1.5%.

Also on Thursday, the Czech Central Bank decreased the key interest rate 0.5%, down to 1.75%.

The Federal Reserve already decreased the interest rate to a record level, between 0 and 0.25%, while in Japan the key interest is 0.1%.

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