Business

Denmark cuts key interest rate

March 6, 2009

The Danish central bank said on Thursday it had cut its key interest rate by 0.75 percentage points to 2.25%, following a rate reduction announced by the European Central Bank.

The move came after the ECB lowered its main interest rate by 0.50 points to 1.50% earlier on Thursday.

Denmark, an EU member but not part of the euro single currency zone, has a fixed exchange rate policy with the euro and tends to follow the ECB's lead on rate changes, rarely making unilateral moves.

AFP

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