ECB will do whatever it takes to bring inflation to 2%, says Lagarde

A inflation the euro zone will cool to a record high this year and the European Central Bank (ECB) is ready for take whichthatr necessary measures for take it back to the goal of 2%, said the president of the ECB, Christine Lagarde, this Friday (14).

The consumer pricesfor5% last month, highest rate ever recorded in the currency bloc of 19 countries and more that twice the target once that rising energy costs and supply constraints andtake alongam a inflation of various goods and services.

THE ECB there are a lot of arguments that price growth will slow on its own, but Lagarde he said that The ECB could adjust monetary policy if necessary.

“Our commitment to price stability remains unwavering,” she said in a speech. “We will take all necessary measures for ensure that let’s meet our goal of inflation from 2% in the medium term.”

“We understand that rising prices are a concern for many people and we take this concern very seriously,” he added. Lagarde.

THE ECB extended pre-pandemic stimulus measures last month, arguing that long-term price pressures are actually very weak, and that the fee of inflation runs the risk of falling below the target by the end of the year.

Several authorities dispute this narrative, however, arguing that the risks are inclined for highest readings of inflation, so that The ECB should start scaling back its extraordinary support measures.

“We have flexibility for respond to a range of circumstances,” said Lagarde, adding that the engines of inflation are actually a hindrance for the growth.

“Higher energy prices are eroding household incomes and undermining confidence, while supply bottlenecks are leading to shortages in the manufacturing sector,” she said.