Central Banks

Lagarde Says ECB Rate Peak Must Ensure Inflation Goes to 2%

  • ECB president says inflation is too high across the euro zone
  • Lagarde speaks in interview with Latvia’s Delfi Bizness

Christine Lagarde

Photographer: Alex Kraus/Bloomberg
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European Central Bank President Christine Lagarde said the peak of the current cycle of interest-rate increases must ensure that inflation returns to the 2% target over the medium term.

Without specifying a level for the so-called terminal rate, Lagarde said borrowing costs have further to rise following last week’s second straight 75 basis-point hike.