Central Banks
ECB Officials Signal Battle Against Inflation Far From Over
- Monetary policy will need to become restrictive, Kazimir says
- France’s Villeroy says it’s possible that rate hikes will slow
Peter Kazimir
Photographer: Christian Wind/BloombergThis article is for subscribers only.
The European Central Bank must take more firm action to combat record inflation, even after delivering back-to-back hikes in interest rates of 75 basis points, according to officials from the Governing Council’s more hawkish flank.
After investors initially interpreted this week’s ECB decisions as a sign that policymakers may be easing off a touch in their efforts, Lithuania’s Gediminas Simkus urged another strong increase in borrowing costs at the final meeting of this year in December.