Monetary Policy and the Economic Outlook – Speech by Governor Gabriel Makhlouf at the European Chamber of Ireland

Summary

Good afternoon and thank you for inviting me to speak today. Last week, the ECB’s Governing Council decided to raise interest rates by 0.25%. This is the first change since June 2025 – the first increase since 2023 – and brings the main policy rate, the Deposit Facility Rate, to 2.25%. Our decision is a response to inflation pressures from higher oil prices and other supply disruptions arising from the war in the Middle East. My colleagues and I on the Governing Council were unanimous in maki...