ECB Posts Record Loss Driven by Interest Bill for Past Policies

The European Central Bank reported a record loss in 2024, a result of its aggressive policy responses to surging inflation and past periods of weak price gains.

Last year’s shortfall amounted to €7.94 billion ($8.3 billion) as interest expenditures exceeded income generated by bonds purchased when borrowing costs were low. The tally would have been similar in 2023 if risk provisions hadn’t partially cushioned the impact then.