03/11/2024 – 8:44
The head of the European Central Bank (ECB) and president of the Central Bank of Slovakia, Peter Kazimir, defended this Monday (11) that the ECB wait until June to start reducing interest rates, although the institution is increasingly confident in the path of fall in inflation.
Last week, the ECB left its interest rates unchanged for the fourth time in a row, but its president, Christine Lagarde, said that discussions on easing monetary policy had already begun and that a series of relevant data would be available by June.
“We will know a little more in April, but only in June, with new forecasts in hand, will the level of confidence reach the desired level,” said Kazimir, in a post on the Slovak BC website.
According to Kazimir, the current situation “clearly” suggests that it is necessary to remain calm in the coming weeks and wait until the first interest rate cut is announced during the European summer.
Kazimir also said that confidence that inflation in the euro zone will return to the official target of 2% next year is “gradually increasing”, but warned that wage pressures remain very high, even though they have shown signs of cooling.
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