LONDON
The European Central Bank (ECB) on Thursday kept its benchmark interest rate unchanged at a record low, following data suggesting that moderate recovery has continued in the last quarter of 2013.
The 24-member governing council of the ECB kept the main rate at 0.25 percent after cutting it by a quarter of a point in November.
Eurostat's data released last Friday shows that the Eurozone's inflation fell to 0.7 percent in January, down from 0.8 percent in December, and below the European Central Bank's (ECB) 2 percent target.
The inflation drop eased some economists' concerns about whether the euro bloc would suffer deflation, and potentially derail economic growth.
Mario Draghi, president of the European Central Bank said: "Following two quarters of positive real GDP growth, developments in recent data and surveys overall suggest that the moderate recovery continued in the last quarter of 2013. Looking ahead, our previous assessment of economic growth has been confirmed."
"Although unemployment in the euro area is stabilizing, it remains high, and the necessary balance sheet adjustments in the public and the private sector will continue to weigh on the pace of the economic recovery," he added.
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