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10.09.202616:11:30UTC+00Denmark Central Bank Follows ECB Rate Hike

Denmark’s central bank raised its key interest rate by 25 basis points to 2.10% in September, mirroring a similar move by the European Central Bank (ECB). The ECB increased rates for the second time this year, citing ongoing conflict in the Middle East as a driver of continued inflationary pressures. By matching the ECB’s action, Denmark preserves the existing interest rate spread between Denmark and the Eurozone, helping to maintain the stability of the Danish krone against the euro. As part of the decision, Denmark’s benchmark current account rate and the certificate of deposit rate were each raised by 25 basis points to 2.10% from 1.85%, while the lending rate was reduced by 25 basis points to 2.50% from 2.75%.

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