Premium
Premium statistics

Industry-specific and extensively researched technical data (partially from exclusive partnerships).

A paid subscription is required for full access.

Fixed rate interest rates set by the ECB 2008-2019

Fluctuation of the European Central Bank fixed interest rate as of September 2019

by M. Szmigiera, last edited Oct 7, 2019
Fixed rate interest rates set by the ECB 2008-2019 In March 2016, the European Central Bank (ECB) reduced its interest rate to zero. This is the rate that the ECB offers to banks for overnight loans. Commercial banks use these loans to ensure liquidity in the short term.
How does this ensure liquidity?

Banks only hold a fraction of their capital in cash on hand. This amount, often measured by the tier 1 capital ratio, is generally low because the banks would rather use their capital to issue revenue-generating loans. When the capital on hand gets too low, commercial banks go to the ECB for a short-term loan. In contrast, commercial banks can also deposit funds with the ECB for a lower interest rate.

Reasons for fluctuations

The ECB’s mandate is to ensure price stability. This means that, in theory, the only indicator that should matter to the ECB is the Euro area inflation rate. When the fixed interest rate in this statistic is lower, commercial banks ask for more loans from the ECB. This increases the money supply, which in turn raises inflation. When inflation is higher, the ECB will raise this rate, reversing the effect.
Show more

Fluctuation of the European Central Bank fixed interest rate as of September 2019

Statista Accounts: Access All Statistics. Starting from $708 / Year
Basic Account
Get to know the platform

You only have access to basic statistics.
This statistic is not included in your account!

Premium Account
Your perfect start with Statista
  • Instant access to 1m statistics
  • Download in XLS, PDF & PNG format
  • Detailed references

$59 / Month *

Corporate Account
Full access

Corporate solution including all features.

* All products require an annual contract.
   Prices do not include sales tax.
Leading companies trust Statista:
paypalgoogleadobepgsamsungtelekom
Related Studies: Available to Download in PDF or PPTX Format
European Central Bank
European Central Bank

All Information
in one Presentation

European Central Bank

Everything On "European Central Bank" in One Document: Edited and Divided into Handy Chapters. Including Detailed References.

Statista is a great source of knowledge, and pretty helpful to manage the daily work.
Christof Baron

Christof Baron
CEO, MindShare Germany

Statistics on "European Central Bank"
  • Monetary policy instruments
  • Money supply
  • Asset holdings
  • Target2
  • Miscellaneous
Discover Statista
Need help with using Statista for your research? Tutorials and first steps
Further Content: Statistics, Studies, and Topic Pages
Statista Accounts: Access All Statistics. Starting from $708 / Year
Learn more about how Statista can support your business.
Do you have any questions about our business solutions?

We provide you with detailed information about our Corporate Account.