Draghi Says Rates Unchanged, Says `Significant' Stimulus Still Needed

The ECB has decided to keep key interest rates unchanged, expecting them to remain stable through summer 2019 and beyond if necessary to ensure inflation converges to just below 2%. The ECB will continue reinvesting in maturing securities to maintain liquidity and monetary accommodation. Economic data has been weaker than expected due to external demand and geopolitical uncertainties, but favorable financing conditions and labor market dynamics support economic expansion. Significant monetary policy stimulus is essential to support inflation and price pressures, with the ECB ready to adjust its instruments to meet inflation targets.

What is the ECB's target for inflation over the medium term?

• Above 2%

• Below but close to 2%

• Exactly 2%

• Below 1%

What is the ECB's plan regarding the principal payments from maturing securities?

• To stop reinvesting them

• To reinvest them partially

• To sell them

• To reinvest them in full

What factors are contributing to weaker than expected incoming information?

• High inflation rates

• Geopolitical factors and protectionism

• Strong external demand

• Stable economic sentiment

Which of the following continues to support euro area expansion?

• Decreasing wage growth

• Unfavorable labor market dynamics

• Rising unemployment

• Supportive financing conditions

What is the ECB's stance on adjusting its instruments?

• It will not adjust any instruments

• It will adjust only asset purchases

• It is ready to adjust all instruments as needed

• It will adjust only interest rates