ECB Ready to Go Further if Inflation Target Not Met—French Central Bank Chief

20-May (Wall Street Journal) — The European Central Bank is ready to take additional steps to boost inflation if its current quantitative easing program proves insufficient, the head of France’s central bank Christian Noyer said Tuesday.

“The Eurosystem is ready to go further if necessary to deliver on its mandate of maintaining inflation close to but below 2%,” Mr. Noyer said at a Euromoney conference speech in Paris.

Mr. Noyer, who sits on the governing council of the ECB, said the central bank’s program to buy €60 billion ($67.05 billion) of assets a month has had a positive impact on inflation expectations. But re-anchoring inflation expectations takes time, he said.

“The purchase program will continue until the end of September 2016 and beyond if we do not see a sustained adjustment in the path of inflation,” Mr. Noyer said.

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