Why a new eurozone crisis now looks a distinct possibility
- Written by Muhammad Ali Nasir, Associate Professor in Economics, University of Leeds
The European Central Bank (ECB) has confirmed speculation that it will become the latest central bank to start raising headline interest rates to try to ward off inflation. The bank is to raise rates by 0.25 points to 0.25% for lending and -0.25% for deposits, with plans for another rise at the next meeting in September. It will also curtail its...