If the European economy weakens further then the European Central Bank might cut interest rates again, policymaker Yannis Stournaras told Bloomberg TV in an interview on Friday, adding that "this is not expected".

The ECB’s rate cuts have drawn the attention of President Trump, who has criticized the more cautious stance of Federal Reserve Chair Jerome Powell.

Looking further forward, the ECB is forecasting an inflation rate of just 1.6 per cent for 2026, meaning it would undershoot its medium-term inflation target of 2 per cent.