Fitch Agency: The European Central Bank may accelerate the pace of interest rate cuts.

Fitch Ratings, the global credit rating agency, clarified in a note issued on Monday that the European Central Bank may accelerate the pace of its interest rate cuts more than previously expected, but not beyond the total expected reductions of 200 basis points by the end of 2025.

According to the global agency, the European Central Bank may lower the interest rate during the monetary policy committee meeting held on October 17, by 25 basis points, bringing the main interest rate to 3.25%.

Thus, Fitch Ratings predicted that the European Central Bank will reduce the interest rate by 25 basis points throughout 2025, in March, June, September, and December, totaling 100 basis points.

The European Central Bank had previously lowered the interest rate in this month's meeting by 25 basis points, in an effort to support economic activity, especially with the recent slowdown in inflation growth.