REVIEW: ECB Keeps Rates On Hold, As the Economy and Policy Remain “In a Good Place”

by Brunello Rosa and Nato Balavadze

In this paper, we discuss:

• The state of the European economy, which has maintained growth momentum despite a difficult global backdrop;
• The ECB’s decision to remain on hold and what it could do going forward;
• The ECB’s assessment that the economy and policy stance are in a good place; and
• The muted market reaction to the widely expected decision.

Download PDF: ECB Review October 2025