July 5 (Bloomberg) -- European Central Bank President Jean- Claude Trichet said the risk of deflation has yet to materialize in Europe. Speaking at a conference in Aix en Provence, France, Trichet said the financial crisis had “validated” the Frankfurt-based central bank’s focus on the medium-term and managing inflation expectations. “There has been an enormous change in view,” he said.

Anchoring inflation expectations “has meant that until now the risk of deflation hasn’t manifested itself,” he said.

To contact the reporter on this story: Mark Deen in Aix en Provence at markdeen@bloomberg.net

Last Updated: July 5, 2009 06:43 EDT