Finance
ECB close to being done with rate cuts, Kazimir says
Published by Global Banking & Finance Review®
Posted on June 9, 2025
1 min readLast updated: January 23, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on June 9, 2025
1 min readLast updated: January 23, 2026
The ECB is close to ending rate cuts, according to Kazimir. Monitoring summer data will guide future decisions, with inflation risks still a concern.
FRANKFURT (Reuters) -The European Central Bank is nearly done with interest rate cuts and should watch data through the summer months to determine whether a little more policy fine-tuning may be needed, Slovak policymaker Peter Kazimir said on Monday.
The ECB cut rates for the eighth time last Thursday and signalled that it may now pause after it fastest policy easing cycle since the 2008/2009 global financial crisis.
The ECB's deposit rate now stands at 2% and investors price in just one more cut, to 1.75%, towards the end of the year
"As things stand now, I think we're nearly done with, if not already at the end of, the easing cycle," Kazimir said in an opinion piece.
While economic growth could turn out weaker than expected, Kazimir also said it would be a mistake to ignore risks that inflation, the ECB's primary focus, could turn out higher.
"Incoming data throughout the summer will provide a clearer picture and guide our decisions on whether further fine-tuning is needed," Kazimir added.
(Reporting by Balazs KoranyiEditing by Gareth Jones)
Kazimir stated that the ECB is nearly done with the easing cycle, suggesting they may be at the end of interest rate cuts.
The ECB's deposit rate currently stands at 2%, with expectations for a potential cut to 1.75% later this year.
Kazimir mentioned that incoming data throughout the summer will provide a clearer picture for guiding future decisions on policy adjustments.
Kazimir warned that while economic growth might be weaker than expected, it would be a mistake to overlook the risks of higher inflation.
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