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Business
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In 1999, the ECB was established and became responsible for monetary policy. The Governing Council started its operations at a time when interest rates were at a very low level. The first interest rate on the main refinancing operations was set at 3%, the marginal lending facilities at 4.5% and the deposit facilities at 2%...
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The Governing Council started its operations at a time when interest rates were at a very low level. The first interest rate on the main refinancing operations was set at 3%, the marginal lending facilities at 4.5% and the deposit facilities at 2%.
In early 1999 a combination of factors increased downward risks to price stability lowering the HICP inflation below 1% (see Figure 2)...
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