The European Central Bank cut interest rates by 25-basis points on Thursday amid deepening concerns about the eurozone's economic outlook and a sharp fall in inflation, dpa reported. The Frankfurt-based ECB's 23-head governing council, holding one of its regular out-of-town meetings in Bratislava, decided to lower its benchmark refinancing rate to an historic low of just 0.5 per cent. The market is now likely to focus on the press conference of ECB chief Mario Draghi, set for later on Thursday, for any signs that the bank is considering any further steps to shore up economic confidence in the recession-hit eurozone. This could include new unconventional measures aimed at boosting bank lending. Thursday's decision represents the fourth time that the ECB has reduced borrowing costs since Draghi took over as bank chief in November 2011.
