ECB holds interest rates despite calls for a cut

The European Central Bank held interest rates at 4.0 percent today, as expected, brushing off calls to help avert a sharp worldwide economic slowdown by cutting borrowing costs.

All 83 economists polled by Reuters last week expected the ECB to keep rates unchanged at this month's policy meeting. But expectations are growing that the ECB will join the U.S. Federal Reserve, the Bank of England and the Bank of Canada by lowering rates later this year.

Last month he said that ECB policymakers had discussed the possible need for a rate rise to fight euro zone inflation, which hit a record high in January.

But recent signs of faltering growth in the 15-member bloc have added to pressure on the ECB to ease rates -- as the United States has done aggressively -- to avert a global slowdown.