In an interview with Dutch television channel WNL on January 22, Klaas Knot, a member of the Board of Governors of the European Central Bank (ECB), said that the ECB is ready to interest rate hike 50 basis points in February and March 2023, and will continue to raise interest rates for the following two months.
In another interview with Italy’s La Stampa newspaper on the same day, Knot said it was too early to say whether the ECB would slow down its rate hikes in the summer.
According to Mr. Knot, the risks to the inflation outlook will become more balanced and that is when ECB could slow down rate hikes from 50 basis points to 25 basis points. However, that time has not yet come.
[ECB tăng lãi suất làm gia tăng nguy cơ khủng hoảng nợ của Italy]
Earlier, ECB chief economist Philip Lane in an interview with the Financial Times on January 17 said that the ECB must raise interest rates to the point where it starts to limit. economic growthwhile the top rate will depend on how the economy reacts to the bank’s fastest tightening cycle in history.
The ECB has raised interest rates by a total of 2.5 percentage points since July 2022 in an attempt to contain Inflation escalates at record levels.
But policymakers have emphasized they will need to raise interest rates even higher for inflation – currently around 10% – to return to its 2% target by around 2025.
(VNA/Vietnam+)