The ECB has been on hold since cutting rates by a total of 2 percentage points in the year to June.

The eurozone posted slightly stronger-than-expected growth in the third quarter of 2025, offering a glimmer of resilience after months of sluggish momentum. Gross domestic product (GDP) in the eurozone increased by 0.2% quarter-on-quarter, and by 1.3% year-on-year, according to preliminary estimates from Eurostat released on Thursday.

Despite pressure from US tariffs and the ongoing conflict in Ukraine, ECB President Christine Lagarde and other bank officials held that policy was in a "good place".

According to the ECB, US tariffs have had little impact on inflation and only a “moderately limited” effect on growth.