ECB cuts interest rate to 0.5%

  • The European Central Bank (ECB) on Thursday lowered its benchmark interest rate to 0.5 percent from 0.75 percent, the first cut to take place in ten months.

    The ECB said it was "ready to act” if more was needed to boost the eurozone's economic health.

    ECB president Mario Draghi added that the central bank was also "technically ready" for negative deposit rates.

    The ECB also extended its cheap loans to banks until at July 2014.

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