The European Central Bank (ECB) concluded a two-day meeting on Thursday with plans to raise interest rates by 25 basis points. This move will bring the key interest rate to 2.25%, a response to ongoing supply-side shocks and persistent inflation across the Eurozone. The ECB cited continued inflationary pressures as the primary driver for the increase. This decision marks another step in the central bank’s efforts to curb rising prices and stabilize the economy. Further tightening of monetary policy is anticipated, with another rate hike expected in July. The ECB is closely monitoring economic data to assess the impact of these measures and future adjustments. The aim is to return inflation to the bank’s 2% target over the medium term.