European banks brace for 'lower for longer' interest rates
Banks across Europe are under pressure from the low interest rate environment, which is set to continue for longer than expected after the ECB signaled that a further rate cut could be on the horizon.
The ECB's main refinancing rate has been zero since March 2016, having dropped sharply in the aftermath of the global financial crisis. Low rates inhibit the ability of banks to earn interest income, a key source of revenues.
In July, the central bank said it expects its key interest ra...