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ECB’s Kazimir: Before high inflation comes to feel normal, we should take action
The extent of further monetary policy tightening was the focus for European Central Bank (ECB) Governing Council member and Governor of the National Bank of Slovakia (NBS), Peter Kazimir, who said during Monday’s European trading session that attention is increasingly turning to how much more tightening is required.
Further Policy Tightening Takes Centre Stage
Increasingly, the issue is how much further action the ECB needs to take, rather than whether it needs to act.
It is not necessarily sound policy to wait for inflation to broaden and businesses to pass on costs.
The policy path required may still be underestimated by markets.
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