This year started with an expectation that interest rates would stay steady, or perhaps even edge lower. Financial markets are “pricing in”, or anticipating, two to three quarter-point ECB interest rate hikes this year. This would give an upward boost to inflation and the ECB might increase interest rates as a result. Some locked into fixed rates during the 2022 rise in interest rates. As we have seen, it is not clear what extent of interest rate increases we will see, but there may well be some.

Source: The Irish Times March 26, 2026 12:34 UTC