The European Central Bank raised its borrowing costs to a 22-year high on Thursday and stated that more will come in the meeting next month and beyond.
It was the eighth consecutive interest rate hike by the European Central Bank as it delivered another 25 basis points, which brought the eurozone’s borrowing costs to 3.5%, the highest level since 2001 amid stubbornly high inflation rate.
“Barring a material change to our baseline, it is very likely the case that we will continue to increase rates in July,” ECB President Christine Lagarde said in a press conference on Thursday.
“Are we done? Have we finished the journey? No. We’re not at our destination. Do we still have ground to cover? Yes, we still have ground to cover,” she said.