ECB’s Nagel: Interest Rates ‘Currently at a Very Good Level’

12 August 2025

ECB’s Nagel: Interest Rates ‘Currently at a Very Good Level’
Joachim Nagel, president of the Deutsche Bundesbank, at the ECB International Women’s Day 2025 in Frankfurt on March 7, 2025. Photo by Angela Morant/ECB under CC BY-NC-ND 2.0.

By Marta Vilar – MADRID (Econostream) – European Central Bank Governing Council member Joachim Nagel said on Tuesday that interest rates were currently at a ‘very good level’ and that the ECB's next steps would be flexible.

In an emailed statement, Nagel said that despite the US-EU tariff agreement, there was still some uncertainty.

For now, inflation could be removed from the list of the main challenges in Europe, he said.

‘Policy rates are currently at a very good level’, he said. ‘From here we can watch how the economy develops further. And we can respond flexibly if needed.’

 

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