Central Banks
ECB Rate Cuts Would Need Dramatic Shift in Economy, Kazaks Says
- Hawkish Latvian official speaks to Bloomberg in Riga
- Comments come after data show inflation plummeted in October
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The European Central Bank would need to see a “very dramatic turnaround” in the region’s economic prospects to lower interest rates, according to Governing Council member Martins Kazaks.
Speaking in an interview after data showed euro-zone inflation plunged to its lowest level in more than two years amid a shrinking economy, Kazaks said a sharp drop in activity or a jump in joblessness may be required to consider such a move.