10 Feb 2012

ECB rate held

6:55 am on 10 February 2012

The European Central Bank left its main interest rate unchanged at 1% on Thursday.

ECB president Mario Draghi said the final three months of last year had been very weak, but there was recent evidence of stabilisation among countries that use the euro.

The ECB is still assessing the affect of the huge loans it made to banks in December, when banks were able to borrow at very low rates. Some 489 billion euros ($US650 billion) was taken up.

The BBC reports banks will have a second chance to borrow from the ECB at the end of this month. Strong demand is expected for the loans.