The European Central Bank (ECB) will keep its interest rate at a reasonable level and remain vigilant to risks amid the global interest rate cut cycle, ECB President Christine Lagarde said on Wednesday.
In an exclusive interview with China Global Television Network (CGTN) on the sidelines of the 2026 annual meeting of the World Economic Forum (WEF), the ECB chief noted that the central bank will maintain current interest rates and ensure that Eurozone monetary policy can address risks.
"I have said, and I would repeat happily, that we are currently in a good position. We have significantly reduced our rates over the last two years. We are holding, and have been holding for a moment now, at 2 percent and we think that we are in a good position. And we have to be attentive to risk to the downside and risk to the upside as well, in order to have a monetary policy that responds with agility and a focus on the 2 percent medium term," she said.
The five-day event opened in the Swiss Alpine town of Davos on Monday, gathering 3,000 leaders and experts worldwide to discuss pressing global challenges including enhancing cooperation, unlocking new sources of growth and deploying innovation at scale and responsibly.
ECB to keep reasonable interest rates, vigilant to risks: president
European Central Bank President Christine Lagarde sees more solid foundations of the global economy in 2026 than anticipated, expressing her confidence on the economic outlook of the year.
Speaking in an exclusive interview with the China Global Television Network (CGTN) on the sidelines of the 2026 World Economic Forum (WEF), Lagarde shared her views on global macroeconomic outlook, monetary policy direction, financial stability and the role of international cooperation amid growing uncertainty.
When asked about the expectations on the 2026 global economy, Lagarde said, "I think we are entering 2026 with more solid foundations than we had anticipated back in 2025. If I look at numbers, growth is higher than we had anticipated. The number of people employed is higher. The number of people unemployed is lower. Monetary policy for which I am responsible is in a good place. We have our target of two-percent medium term spot on, and inflation has been defeated. I'm saying that the foundations are much more solid than we had anticipated". Under the theme "A Spirit of Dialogue," the 2026 WEF meeting opened on Monday in the Swiss Alpine town of Davos and will run through Friday. About 3,000 leaders and experts worldwide are gathering to discuss five pressing global challenges, including enhancing cooperation, unlocking new sources of growth and deploying innovation at scale and responsibly.
Foundation of 2026 global economy more solid than anticipated: ECB chief
