ECB Holds Interest Rates, Signals Another Hike Possible in September

The European Central Bank (ECB) has maintained its benchmark interest rate at 2.25%, leaving open the possibility of another hike in September.

Despite keeping rates unchanged, the ECB signaled further monetary tightening remains possible due to rising energy prices driven by the conflict in the Middle East.

The central bank closely monitors energy market volatility and its impact on inflation outlook, with uncertainty remaining high and the full inflationary effect of the shock yet to materialize.