ECB raises rates for first time since 2008

ECB raises rates for first time since 2008

Eurozone official interest rates have risen for the first time in three years as the European Central Bank reacted to accelerating inflation by tightening policy. The increase in the ECB’s main interest rate, from 1 per cent to 1.25 per cent, follows a surge in eurozone inflation and increasing confidence at the Frankfurt-based institution that official borrowing costs no longer need to remain at emergency lows. http://link.ft.com/r/DHGUVV/JI45UO/TP3TEW/V1SKHA/UU9BL3/HK/h?a1=2011&a2=4&a3=7

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