EZB-Leitzinsen: Sparen lohnt sich wieder

Die Europäische ZentralbankThe European Central Bank (ECB) has once again increased the benchmark interest rates. Banks will now receive a four percent interest rate when depositing their money with the ECB. However, if they borrow from the ECB, they will have to pay an interest rate of 4.5 percent.

The ECB ensures that there is less money in circulation in order to reduce the inflation rate. This is because when less money is spent, merchants adjust their prices accordingly. In October of last year, the inflation rate was over ten percent, but it has been steadily decreasing since then. However, in August, the inflation rate in the Eurozone was still 5.3 percent higher than the same month last year, which is far from the ECB’s target inflation rate of two percent.