Central Banks
ECB ‘Certainly’ Isn’t Done With Interest-Rate Hikes, Knot Says
- Hasn’t yet made up mind if 25 of 50 basis points needed in May
- Dutch central bank chief comments in interview with NRC
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The European Central Bank has to continue to raise borrowing costs, according to Governing Council member Klaas Knot, conceding that a slower pace of tightening could be warranted.
“We are certainly not done with interest-rate hikes,” the Dutch central bank chief told the NRC newspaper in an interview. “Core inflation in the euro zone is now almost 6%, and you can’t fight that with an interest rate of 3%.”