[EpochTimesSeptember192022](The Epoch Times reporter Zhang Yuanzhang, Taiwan Taipei reported) European inflation is at a high level, and the European Central Bank (ECB) has raised interest rates by 3 yards on the 8th of this month. Looking ahead, ECB chief economist Philip Lane believes there should be several more rate hikes this year and early next year before returning to “more normal levels”.
According to comprehensive foreign media reports, Ryan said that the ECB recently raised interest rates by 0.75 percentage points, a total of 3 rate hikes, which is an “important step”. Several more rate hikes are expected for the remainder of the year and into next year.
German central bank President Nagel pointed out on the 18th that inflation in the euro zone hit a record high of 9.1% in August. If the data trend continues, interest rates must be raised further, which has been agreed in the committee. Make up your mind for the month and after. The ECB must control inflation and stress that it cannot let up even as the economy deteriorates.
With the ECB raising interest rates three times this month, Nagel believes borrowing costs are still slightly below what is needed to curb price pressures, but a rapidly deteriorating economic outlook this winter and the threat of energy rationing have left policymakers’ jobs changing. complicated.
Even in the base case of the central bank’s forecast, growth in the euro zone is expected to stagnate this year, and the possibility of a mild or technical recession cannot be ruled out, Lane said.
Nagel said that the growth trend in Q3 and Q4 may slow down, but he is confident that the economy can avoid a sharp decline.
Responsible editor: Zheng Hua