The governor of the European Central Bank (ECB), Christine Lagardová, is not convinced that inflation in the eurozone has already peaked, although it has risen to the highest level in the history of the currency bloc.

There is too much uncertainty to know whether inflation, which rose to 10.6 percent in October, will ease soonLagarde said on Monday in the European Parliament’s Committee for Economic and Monetary Affairs.

If I look at the engines of inflation, “whether it’s food and commodities or whether it’s energy, I don’t see any components or direction that would lead me to believe that we have reached peak inflation and that it will soon decline,” said the head of the ECB. It means that the bank will “continue to tame inflation with all the tools we have”, primarily through raising interest rates, Lagardová added.

Leave a Reply

Your email address will not be published.