The European Central Bank (ECB) remains in a good position regarding its interest rate policy and inflation control. This assessment came from ECB President Christine Lagarde as she explained the bank’s decision to leave interest rates in the eurozone unchanged. The move, which marks the fifth consecutive hold, aligned with the expectations of most financial experts.+1
Ms Lagarde confirmed that the decision was unanimous among the central bank’s policymakers. She noted that the risks associated with inflation and economic growth are currently well balanced. Inflation across the euro area dropped to 1.7 per cent last month, falling just below the ECB’s medium-term target of 2 per cent.
The president also highlighted that the central bank in Frankfurt is keeping a close watch on the euro’s exchange rate against the dollar. A stronger euro can help lower inflation by reducing the cost of imports, particularly for energy supplies.
@anp | NEWS BRAINPORT
