"Underlying inflationary pressures remain high" and "there is no clear evidence that underlying inflation has peaked." This was stated by the President of the ECB, Christine Lagarde, in a hearing before the Economic Committee of the European Parliament. (ANSA).
"We are fully committed to fighting inflation and are determined to achieve its timely return to our medium-term objective of 2%," Lagarde said. "Our rate hikes are being strongly transmitted to the financing conditions of firms and households, as can be seen from rising lending rates and falling loan volumes. At the same time, the full effects of our monetary policy measures are starting to materialize," he added.
"Our future decisions will ensure that policy rates are raised to sufficiently restrictive levels to achieve a timely return of inflation to our medium-term objective of 2% and will be maintained at those levels for as long as necessary," Lagarde said. "We will continue to follow a data-dependent approach to determine the appropriate level and duration of the restriction," Lagarde said.