ECB’s Schnabel: Rates “Expected to Remain at Current Levels for Extended Period”

28 January 2026

By Marta Vilar – MADRID (Econostream) – European Central Bank Executive Board member Isabel Schnabel said on Wednesday that interest rates were at a “good place” and were expected to remain at the same levels for a long period.

In a presentation at the 4th Women’s Network Meeting of the Baden-Baden Entrepreneur Talks, Schnabel said that the ECB’s projections confirmed the achievement of price stability in the medium term, while the economic was growing close to its potential, according to slides released by the ECB.

Schnabel said that the euro area economy had proven “resilient despite tariffs,” and pointed to the services sector as the main driver. Domestic demand had recovered due to the “resilient labor market.”

“ECB rates [are] in a good place and [are] expected to remain at current levels for [an] extended period,” she said, according to the slides.

Economic growth must be revitalized as the fiscal burden from government spending increases, she said.

Related articles:

• ECB’s Schnabel: “Rates Will Probably Remain Stable for Quite Some Time if Nothing Unforeseen Happens”
• ECB’s Schnabel: “We Are Quite Satisfied with the Current Inflation Situation”
• ECB’s Schnabel Says Rates Likely to Stay Put “For Some Time,” Next Move Seen as a Hike