Interest Rate Directive

The Interest Rate Directive is a policy used by the European Central Bank (ECB) to guide interest rates in the Eurozone. It influences how much banks pay to borrow money and how much they earn from lending. By setting benchmark rates, the ECB helps control inflation, support economic growth, and maintain financial stability. Changes to these rates can affect everything from savings account yields to loan costs for consumers and businesses, shaping overall economic activity within the Eurozone.