Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  News  >  Economy & Forex  >  All News

News : Economy & Forex

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
All NewsEconomyCurrencies / ForexEconomic EventsPress releases

ECB can take more decisive steps once inflation moves higher

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/09/2017 | 04:35pm CET
European Central Bank announces interest rate decision in Frankfurt

The European Central Bank can tighten monetary policy more decisively once inflation is on a clear path towards the target, leaving behind its gradualist approach, Governing Council member Philip Lane told German business newspaper Boersen-Zeitung.

"If we have enough signals, we can get active and move on," daily Boersen-Zeitung quoted Lane as saying on Thursday.

"So our monetary policy does not always have to follow such a gradual and incremental approach as it is currently the case," said Lane, who is Ireland's central bank governor.

The ECB agreed last month to halve asset purchases from next year but extended the buys until September, arguing that inflation still needed central bank support to rise towards its target of almost 2 percent.

Critics have argued that its policy adjustment has been too gradual so far, raising the chance that it falls behind the curve and would have to make a bigger, potentially disruptive adjustment later.

"Inflation doesn’t have to reach our goal before we discuss changing our policy," Lane told the paper in an interview. "But inflation must be clearly on the way towards this goal. At the moment this is not the case."

Arguing that 2018 will be an "interesting" year for monetary policy, Lane said that the bar for another increase in the ECB's 2.55 trillion euro (£2.26 trillion) asset purchase scheme was higher than before.

"Over time, as the economic recovery continues, the likelihood that the goal will be achieved increases. Then monetary policy can undoubtedly be adjusted more decisively," Lane said.

(Reporting by Balazs Koranyi; Editing by Maria Sheahan)

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news "Economy & Forex"
03:25p NAHB NATIONAL ASSOCIATION OF HOME BUILDERS : Slight Gains for Custom Home Building
03:25p HOME COOKING FIRES PEAK AROUND HOLIDAYS : Fwfd reminds you to cook safely
03:25p THE LLOYDS : A family of proud KCM employees
03:20p CITY OF MADISON WI : Madison Recognized for Exceptional Performance in National Competition for Energy Savings
03:16pDJNEWS HIGHLIGHTS : Top Global Markets News of the Day
03:16pDJNEWS HIGHLIGHTS : Top Company News of the Day
03:15p UNECA UNITED NATIONS ECONOMIC COMMISSION FOR AFR : Experts meet in Addis Ababa to discuss blockchain technology in Africa
03:10p MODOT MISSOURI DEPARTMENT OF TRANSPORTATION : Bridge Maintenance to Impact Traffic on Route 54 in Callaway County
03:05p Highlights - Chancellor Hammond delivers budget
03:05p Britain's budget contains 25 billion pounds of new spending - spokeswoman
Latest news "Economy & Forex"
Advertisement