ECB President hints at more rate hikes after this month's increase
Business
ECB’s determination of returning inflation to 2% target in last month should not be doubted, Lagarde
FRANKFURT (Web Desk) - European Central Bank President Christine Lagarde has said that after the coming interest rate hike in this month, more rate hikes will be needed due to high inflation in the Eurozone.
Speaking to Spanish TC channel, she said that at the point it was possible to continue on the path. The remarks have come as ECB lifted rates at an unprecedented pace during the recent months in order to cool inflation amid surging energy and food costs after Russian war in Ukraine.
Since July, the interest rates had already been hiked by the Frankfurt institution by three percentage points. During the next meeting of the ECB’s governing council another hike of 50 basis points is being expected.
The annual inflation of the Eurozone stood at 8.5 percent that was 8.6 percent in January. The decline was smaller than analysts had expected.
Lagarde also said that the ECB’s determination of returning inflation to the target of two percent in the previous month should not be brought under doubt.
