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The European Central Bank released a new round of measures to help support the economy. These include lowering interest rates again. The financial moves are the latest efforts to lift the economy of the 19 countries that use the euro currency. The European Central Bank, or ECB, cut all three of its main interest rates. Officials at the ECB hope banks will lend more money to businesses and consumers to help the region’s economy. The Eurozone economy has had low growth for many years. Growth was 0.3 percent in the last three months of 2015. The ECB cut its three main interest rates in March. The rate to refinance was reduced to zero from 0.5 percent. The rate for deposits with the central bank was cut further to negative 0.4 percent. That negative interest rate means that depositors pay the bank instead of receiving interest payments. The unusual measure is meant to persuade banks to lend money rather than keep it with the central bank. The ECB also said it would increase the purchase of bonds from 60 billion euros each month to 80 billion euros. That move provides more money to financial institutions that hold the bonds, putting more money into the Eurozone economy. European Central Bank president Mario Draghi says that the new moves show the ECB is not out of ideas to help the economy. He says interest rates will stay very low for a long time. But, he adds it will not be necessary to reduce rates further.
