The Federal Reserve will increase interest rates by 0.75% as part of its strategy to lower inflation.

It’s the largest rate hike since 1994.

It was announced June 15 following the two-day meeting of the Federal Open Market Committee.

The Fed explained its decision in a statement released after the meeting.

“The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run,” the Fed stated. “In support of these goals, the Committee decided to raise the target range for the federal funds rate to 1‑1/2 to 1-3/4 percent and anticipates that ongoing increases in the target range will be appropriate.”