The ECB's decision to leave key interest rates unchanged is understandable and correct

The ECB's decision to leave key interest rates unchanged is understandable and correct. Although the inflation rate in the eurozone is approaching the two percent target, price pressures remain in the service sector and in parts of the consumer sector. Geopolitical risks and the protectionist trade policy of the USA also continue to pose inflationary risks. For the real estate industry, the current interest rate level remains a challenge, but at least a calculable one. A hasty interest rate cut would have raised false expectations and undermined the ECB's credibility in its fight against inflation. Stability is now the order of the day – both for the capital markets and for real estate financing.