Christine Lagarde: “we must continue to take the necessary measures to bring inflation back to 2% and we will”
”It is very likely that we will raise interest rates by 50 basis points” in the meeting on March 16. “This was a decision indicated during our last monetary policy meeting and all the numbers we have seen in the last few days confirm that this interest rate hike is very, very likely”. This was stated by the president of the ECB, Christine Lagarde, in an interview for the Spanish newspaper ‘El Correo’ and reported on the ECB website.
”I would like to underline that overall inflation has decreased in recent months and will continue to decrease in the coming months”, continues Lagarde. ” Core inflation, which in the eurozone excludes energy and food, is too high ”, he underlines. ”The way forward is clear: we must continue to take the necessary measures to bring inflation back to 2%. And we will do it”.
According to the president of the ECB, ”inflation indexation (of pensions) has not helped us in the past and in general has contributed to fueling out-of-control inflation. Our economies have become dependent on it. I don’t think it would be a good idea to go back”.
Source-www.adnkronos.com