Author: Paul Hannon

The central bank is likely to again raise its key interest rate in the near future, unless there is evidence of weakening inflation, the deputy governor said.

European governments are set to choose between two candidates to succeed Christine Lagarde: Spain’s Pablo Hernandez de Cos and the Netherlands’ Klaas Knot.

The conflict has lifted energy prices, though they have fallen since the midterms raised hopes for an end to the war.

Sweden’s central bank raised its key interest rate for the first time since the start of the war between the U.S. and Iran, and signaled that more increases in borrowing costs were likely.

The bank is expected to join its peers in raising borrowing costs Thursday as it attempts to contain a pickup in inflation ahead of an intense period of wage negotiations.

Businesses expected the prices they charge to rise by 3.8% over the coming 12 months, an increase from the 3.7% expected in September.

The growth is pushing hopes for a continued expansion across the eurozone as a whole, despite higher energy costs.

The government’s budget plans are guided by two targets, one of which requires it to pay for day-to-day spending entirely out of tax revenue and borrow only to fund investment by the fiscal year ending at the start of April 2030.

The U.K. government set out new plans for spending and taxation intended to keep it on track to narrow its budget deficit, but at a slower pace than previously hoped for.

The central bank is expected to leave its key interest rate unchanged Thursday, avoiding additional pressure on French government bonds.

Russia’s central bank left its key interest rate unchanged, and signaled only a slight decline in borrowing costs next year as inflation is set to remain stubbornly high.

The government cut borrowing in the first six months of its fiscal year—but at a slower pace than planned—underlining the challenges posed by rising prices and interest payments.