ECB’s Knot: Expect Rates to Be Cut to Below 3%

25 September 2024

By Marta Vilar – MADRID (Econostream) – European Central Bank Governing Council member Klaas Knot said on Tuesday that the ECB would likely cut rates in the first half of 2025 below 3%.

In an interview with Dutch TV programme Nieuwsuur, Knot, who heads Der Nederlandsche Bank, said 'I would expect us to continue to gradually reduce interest rates in the coming time, also in the first half of 2025.'

He did not expect interest rates to be reduced to very low levels like those seen before the pandemic, he said.

‘They will likely end up on a somewhat more natural level. I don't know where exactly, but somewhere starting with a 2,’ he observed.