European Central Bank interest rates will keep falling as policymakers are confident that inflation will stabilise at the bank's 2% target, Finnish central bank chief Olli Rehn said on Wednesday.

Eurozone inflation fell to 2.4% in December 2024, but ECB chief economist Philip Lane cautions that services inflation and uneven growth persist. A "middle path" on interest rates and structural reforms is crucial for stability.

The European Central Bank (ECB) is sticking to its guns on reducing inflation to 2% this year, even as Donald Trump’s return to the White House raises new uncertainty over global trade and economic stability.

European Central Bank policymakers lined up behind further interest rate cuts on Wednesday, indicating that next week's reduction is all but a done deal and further moves will also come even if the U.