ECB leaves refinance rates unchanged at 1%

The European Central Bank has left refinance rates unchanged at 1%. The President of the European Central Bank said that he sees short-term upward pressure on inflation but expects these inflationary pressures to be contained over the medium-term.

The underlying economic momentum remains positive but uncertainty is still 'elevated', he feels. He said that he would monitor all developments 'very closely'.

The President added that the risk to the economic outlook was slightly tilted toward the downside but fears that market tension, rise in oil, commodity prices would restrict economic growth.