European economy stagnates rapidly because of high ECB interest rate.
From 2013 to 2023 the interest rate has gone up from 0.75 to 4.75 this month.
The interest rate of ECB starts to rise concern over euro zone economy. Borrowing cost of loans have sky rocket and many businesses have felt it paying off loans.
The inflation has gone up and many business fail to pay their loan.
Aa many economists see the risk of investing there are some who see the opportunity and wait for the perfect moment to make profit.
ECB’s decision is to hold rates steady as inflation will slow down but all to the detriment of economic development.
We had 10 consecutive hikes of interest rates and the ECB decision was to stop hiking interest rates for now.
Hiking interest rates are still far away from stopping, and we will see it spiking again eventually.