ECB’s Stournaras: No Reason to Change Interest Rates at the Moment

20 September 2025

By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member Yannis Stournaras on Saturday said that there were no grounds to cut interest rates for the time being.

In an interview with Bloomberg, Stournaras, who heads the Bank of Greece, said, “All in all, given the uncertainty, we’re at a good equilibrium – not a perfect equilibrium, but a good one. For the moment there’s no reason to act on rates.”

“We’re data dependent — if we find in our monetary-policy meetings that things have changed, we’ll change as well,” he was quoted by the agency as saying. However, “it would take a substantial change in our outlook to change our position.”

To the extent that there were risks, these were “slightly more on the downside” in view of trade and geopolitical tensions, he said. “But these risks aren’t severe enough to justify another cut at this moment. The baseline prevails.”

The 2028 inflation projection, due in December, should be “close to 2%, but close from below not from above, and this is somehow a concern but not a serious one for now,” he said. “If it ends up more meaningfully below target, then that would be.”