ECB to Keep Interest Rates Unchanged in April 2026 as Iran War Fuels Inflation Uncertainty

The European Central Bank is expected to keep its key interest rates unchanged in April 2026, as inflation in the eurozone rose to 2.6% in March—the highest level since July 2024—driven by rising energy costs. While markets anticipate up to three rate hikes in 2026, starting possibly in June, ECB President Christine Lagarde and board member Isabel Schnabel stress a patient, data‑driven approach amid geopolitical uncertainty from the Iran conflict.

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