The benchmark interest rate In the Euro Area was last recorded at 2.65 percent. This dataset provides - Euro Area Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

In June 2024, the European Central Bank (ECB) began reducing its fixed interest rate for the first time since 2016, implementing a series of cuts. The rate decreased from 4.5 percent to 3.15 percent by year-end: a 0.25 percentage point cut in June, followed by additional reductions in September, October, and December. The central bank implemented another cut in early 2025, setting the rate at 2.9 percent. This marked a significant shift from the previous rate hike cycle, which began in July 2022 when the ECB raised rates to 0.5 percent and subsequently increased them almost monthly, reaching 4.5 percent by December 2023 - the highest level since the 2007-2008 global financial crisis. How does this ensure liquidity? Banks typically hold only a fraction of their capital in cash, measured by metrics like the Tier 1 capital ratio. Since this ratio is low, banks prefer to allocate most of their capital to revenue-generating loans. When their cash reserves fall too low, banks borrow from the ECB to cover short-term liquidity needs. On the other hand, commercial banks can also deposit excess funds with the ECB at a lower interest rate. Reasons for fluctuations
The ECB’s primary mandate is to maintain price stability. The Euro area inflation rate is, in theory, the key indicator guiding the ECB's actions. When the fixed interest rate is lower, commercial banks are more likely to borrow from the ECB, increasing the money supply and, in turn, driving inflation higher. When inflation rises, the ECB increases the fixed interest rate, which slows borrowing and helps to reduce inflation.

From 2003 to 2025, the central banks of the United States, United Kingdom, and European Union exhibited remarkably similar interest rate patterns, reflecting shared global economic conditions. In the early 2000s, rates were initially low to stimulate growth, then increased as economies showed signs of overheating prior to 2008. The financial crisis that year prompted sharp rate cuts to near-zero levels, which persisted for an extended period to support economic recovery. The COVID-19 pandemic in 2020 led to further rate reductions to historic lows, aiming to mitigate economic fallout. However, surging inflation in 2022 triggered a dramatic policy shift, with the Federal Reserve, Bank of England, and European Central Bank significantly raising rates to curb price pressures. As inflation stabilized in late 2023 and early 2024, the ECB and Bank of England initiated rate cuts by mid-2024, and the Federal Reserve also implemented its first cut in three years, with forecasts suggesting a gradual decrease in all major interest rates between 2025 and 2026. Divergent approaches within the European Union While the ECB sets a benchmark rate for the Eurozone, individual EU countries have adopted diverse strategies to address their unique economic circumstances. For instance, Hungary set the highest rate in the EU at 13 percent in September 2023, gradually reducing it to 6.5 percent by October 2024. In contrast, Sweden implemented more aggressive cuts, lowering its rate to 2.25 percent by February 2025, the lowest among EU members. These variations highlight the complex economic landscape that European central banks must navigate, balancing inflation control with economic growth support. Global context and future outlook The interest rate changes in major economies have had far-reaching effects on global financial markets. Government bond yields, for example, reflect these policy shifts and investor sentiment. As of June 2024, the United States had the highest 10-year government bond yield among developed economies at 4.09 percent, while Switzerland had the lowest at 0.69 percent. These rates serve as important benchmarks for borrowing costs and economic expectations worldwide.

This dataset provides values for INTEREST RATE reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

Key information about European Union Long Term Interest Rate

• European Union Government Bond Yield: Monthly Average: Euro: 10 Years was reported at 2.99 % pa in Feb 2025, compared with 3.09 % pa in the previous month.
• EU Long Term Interest Rate data is updated monthly, available from Jan 1970 to Feb 2025.
• The data reached an all-time high of 15.44 % pa in Sep 1981 and a record low of -0.09 % pa in Dec 2020.
• Long Term Interest Rate is reported by reported by European Central Bank.

• In the latest reports, EU Short Term Interest Rate: Month End: EURIBOR: 3 Months was reported at -0.57 % pa in Nov 2021.
• The cash rate (Policy Rate: Month End: Main Refinancing Operations) was set at 2.90 % pa in Feb 2025.
• EU Exchange Rate against USD averaged 0.92 (USD/EUR) in Jun 2023.

Deposit Interest Rate In the Euro Area decreased to 2.50 percent in March from 2.75 percent in February of 2025. This dataset provides - Euro Area Deposit Interest Rate- actual values, historical data, forecast, chart, statistics, economic calendar and news.

Graph and download economic data for ECB Deposit Facility Rate for Euro Area (ECBDFR) from 1999-01-01 to 2025-03-26 about overnight, Euro Area, deposits, Europe, and rate.

Finland ECB Interest Rate: Marginal Lending Facility data was reported at 3.150 % pa in Feb 2025. This records a decrease from the previous number of 3.400 % pa for Jan 2025. Finland ECB Interest Rate: Marginal Lending Facility data is updated monthly, averaging 2.000 % pa from Jan 1999 (Median) to Feb 2025, with 314 observations. The data reached an all-time high of 5.750 % pa in Apr 2001 and a record low of 0.250 % pa in Jun 2022. Finland ECB Interest Rate: Marginal Lending Facility data remains active status in CEIC and is reported by European Central Bank. The data is categorized under Global Database’s Finland – Table FI.M001: Key Interest Rates: European Central Bank.

Graph and download economic data for ECB Marginal Lending Facility Rate for Euro Area (ECBMLFR) from 1999-01-01 to 2025-03-26 about margin, overnight, Euro Area, Europe, loans, and rate.

Analysis of ‘Bank interest rates - Deposits from euro area non-financial corporations’ provided by Analyst-2 (analyst-2.ai), based on source dataset retrieved from http://data.europa.eu/88u/dataset/bank-interest-rates-euro-area-corporates on 07 January 2022.

--- Dataset description provided by original source is as follows ---

The bank interest rate statistics cover those rates that resident monetary financial institutions apply to euro-denominated deposits and loans by households and non-financial corporations which are residents of the euro area. These statistics are used for the analysis of monetary developments and the monetary transmission mechanism as well as for the monitoring of financial stability.

This dataset covers euro-denominated deposits from euro area non-financial corporations (percentages per annum, rates on new business).

--- Original source retains full ownership of the source dataset ---

Graph and download economic data for ECB Main Refinancing Operations Rate: Fixed Rate Tenders for Euro Area (ECBMRRFR) from 1999-01-01 to 2025-03-26 about operating, liquidity, fixed, Euro Area, Europe, and rate.

The benchmark interest rate in Norway was last recorded at 4.50 percent. This dataset provides the latest reported value for - Norway Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Graph and download economic data for Interest Rates: Long-Term Government Bond Yields: 10-Year: Main (Including Benchmark) for Euro Area (19 Countries) (IRLTLT01EZM156N) from Jan 1970 to Feb 2025 about long-term, Euro Area, 10-year, Europe, bonds, yield, government, interest rate, interest, and rate.

Belgium ECB Interest Rate: Marginal Lending Facility data was reported at 3.150 % pa in Feb 2025. This records a decrease from the previous number of 3.400 % pa for Jan 2025. Belgium ECB Interest Rate: Marginal Lending Facility data is updated monthly, averaging 2.000 % pa from Jan 1999 (Median) to Feb 2025, with 314 observations. The data reached an all-time high of 5.750 % pa in Apr 2001 and a record low of 0.250 % pa in Jun 2022. Belgium ECB Interest Rate: Marginal Lending Facility data remains active status in CEIC and is reported by European Central Bank. The data is categorized under Global Database’s Belgium – Table BE.M001: Key Interest Rates: European Central Bank.

The average interest rate of loans from monetary financial institutions to non-financial corporations in the euro area overall has decreased slightly in 2024. In January of that year it amounted to 5.2, while it had fallen to 4.36 by December 2024. These figures are a composite cost-of-borrowing indicator that shows the average interest rate of business loans (non-financial), taking into account those with different loan terms or for different amounts.

Spain ECB Interest Rate: Marginal Lending Facility data was reported at 3.150 % pa in Feb 2025. This records a decrease from the previous number of 3.400 % pa for Jan 2025. Spain ECB Interest Rate: Marginal Lending Facility data is updated monthly, averaging 2.000 % pa from Jan 1999 (Median) to Feb 2025, with 314 observations. The data reached an all-time high of 5.750 % pa in Apr 2001 and a record low of 0.250 % pa in Jun 2022. Spain ECB Interest Rate: Marginal Lending Facility data remains active status in CEIC and is reported by European Central Bank. The data is categorized under Global Database’s Spain – Table ES.M001: Key Interest Rates: European Central Bank.

Graph and download economic data for Interest Rates: 3-Month or 90-Day Rates and Yields: Interbank Rates: Total for Euro Area (19 Countries) (IR3TIB01EZQ156N) from Q1 1994 to Q4 2024 about interbank, Euro Area, 3-month, Europe, yield, interest rate, interest, and rate.

Euro Short Term Rate In the Euro Area increased to 2.67 percent on Thursday March 6 from 2.66 in the previous day. This dataset includes a chart with historical data for Euro Area Euro Short Term Rate.

European Union Key Interest Rate: Month End: Deposit Facility data was reported at 2.750 % pa in Feb 2025. This records a decrease from the previous number of 3.000 % pa for Jan 2025. European Union Key Interest Rate: Month End: Deposit Facility data is updated monthly, averaging 0.500 % pa from Jan 1999 (Median) to Feb 2025, with 314 observations. The data reached an all-time high of 4.000 % pa in May 2024 and a record low of -0.500 % pa in Jun 2022. European Union Key Interest Rate: Month End: Deposit Facility data remains active status in CEIC and is reported by European Central Bank. The data is categorized under Global Database’s France – Table FR.M001: Key Interest Rates: European Central Bank.

Retail Interest Rates - Mortgage Rates. Published by Central Bank of Ireland. Available under the license Creative Commons Attribution 4.0 (CC-BY-4.0).Table B.3.1 presents quarterly mortgage rate data specific to the Irish market. These data include all euro and non-euro denominated mortgage lending in the Republic of Ireland only. New business refers to new mortgage lending drawdowns during the quarter, broken down by type of interest rate product (i.e. fixed, tracker and SVR). The data also provide further breakdown of mortgages for principal dwelling house (PDH) and buy-to-let (BTL) properties. Renegotiations of existing loans are not included....