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The European Central Bank has decided to keep its key interest rate at a record low of 1 percent. The rate has remained unchanged since the world financial crisis broke, 17 months ago.
Jean-Claude Trichet, President of European Central Bank, said, "Based on its regular economic and monetary analyses, the governing council continues to view the current key ECB interest rates as appropriate. It therefore decided to leave them unchanged."
The European Central Bank also raised its growth projections for the 16-nation eurozone. Trichet said the ECB is now projecting growth this year of 1.4 to 1.8 percent. Its forecast for 2011 was for growth of between 0.5 and 2.3 percent. Trichet said the eurozone's recovery should proceed at a moderate pace, with uncertainty still prevailing. Trichet also said the ECB would maintain its current accommodative monetary policies to foster sustainable economic growth.
|The European Central Bank has decided to keep its key interest rate at |
a record low of 1 percent. The rate has remained unchanged since the
financial crisis broke, 17 months ago.
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