Monetary policy decisions, November 2013 / ECB cuts interest rates to record low

The European Central Bank (ECB) cut its benchmark interest rate to a record low of 0.25%, down from 0.5% on the 7 November 2013.

The move came as a surprise to many analysts.

ECB president Mario Draghi said the decision to cut rates reflected an outlook of low inflation and economic weakness in the eurozone.

• Primary Source

ECB: Press Release, 07.11.13: Introductory statement to the Press Conference by Mario Draghi, President of the ECB, 07.11.13 http://www.ecb.europa.eu/press/pressconf/2013/html/is131107.en.html

BBC News, 07.11.13: ECB cuts interest rates to record low http://www.bbc.co.uk/news/business-24851483

EUObserver, 07.11.13: ECB cuts interest rates to a record low http://euobserver.com/news/122024

Deutsche Welle, 07.11.13: Opinion: ECB is playing a risky game http://dw.de/p/1ADmk

France24, 07.11.13: ECB cuts key interest rate to all-time low http://www.france24.com/en/20131107-ecb-central-bank-cuts-interest-rates-low-deflation-fears-stong-euro

Spiegel Online International, 08.11.13: Fear of Deflation: ECB Rate Drop Shows Draghi's Resolve http://www.spiegel.de/international/europe/ecb-surprises-economists-by-dropping-key-interest-rate-to-historic-low-a-932511.html

Euro|Topics, 08.11.13: ECB makes money even cheaper http://www.eurotopics.net/en/home/presseschau/aeltere/NEWSLETTER-2013-11-08-ECB-makes-money-even-cheaper

Die Presse, Süddeutsche Zeitung, Il Sole-24 Ore & 2 others, 08.11.13: What’s come over the ECB? (via PressEurop) http://www.presseurop.eu/en/content/press-review/4307011-what-s-come-over-ecb

Blog: LSE EuroppBlog, 18.11.13: The ECB rate cut was driven by the needs of Germany, not the needs of the Eurozone http://bit.ly/1bMGMnE

Spiegel Online International, 20.11.13: Near Zero: ECB Interest Rate Cuts Hit Savings Hard http://www.spiegel.de/international/business/germans-worried-as-low-ecb-interest-rates-hit-savings-a-934240.html

---