Forex – European Central Bank Governing Board member and Greek Central Bank Governor Yannis Stournaras said that the ECB’s monetary policy “will remain restrictive” even if interest rates are cut further.
“We will continue to make decisions based on current information, evaluating the latest information from one monetary policy meeting to another. In an environment of increasing economic and geopolitical uncertainty, we will continue to act prudently and remain vigilant to adjust the direction of our monetary policy appropriately, if necessary through gradual reductions in our interest rates,” Stournaras told Imerisia.
Stating that monetary policy decisions should continue to be taken in line with a “gradual and flexible approach,” Stournaras said, “We do not want to undermine the economic recovery that has begun and take the risk of pushing inflation below the 2% target.”
