Lower interest rates vital for eurozone

Niall Dunne says the European Central Bank must boost economic growth and cap euro

ALL attention this week will focus on Frankfurt, where on Thursday at 12.45, the European Central Bank will announce its latest decision on interest rates.

At this stage, it’s virtually certain that we will see at least a 0.25% rate reduction, which will bring the ECB key refinancing rate to 2.25%. This, of course, is the base rate to which variable mortgage interest rates are linked; so the week ahead should result in lower mortgage repayments for many homeowners.