In South Tyrol, the gradual increase in the key interest rate is having an increasingly clear effect. According to the director of the Raiffeisenkasse Meran, Josefkarl Warasin, noticeably fewer companies are asking for loans. The demand for home loans is also declining. The goal of curbing inflation is tending to be noticeable, Warasin explained on request. However, it is to be feared that steadily rising interest rates will have a negative impact on economic growth. High interest rates are beneficial for savers.
The European Central Bank raised interest rates to 4.25 percent yesterday. With these measures, the ECB wants to combat high inflation. In the medium term, it is aiming for price stability in the euro area with an inflation rate of two percent. But even if interest rates continue to rise, consumers cannot expect prices to fall at the moment.
2023-07-28 03:56:42
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