MARRAKECH, Oct 14 (Reuters) – Euro zone inflation is
finally coming down but remains far too high, so monetary policy
needs to restrict economic output for the foreseeable future,
European Central Bank policymaker Joachim Nagel said on
Saturday.
Inflation is still likely to be above the ECB’s target until
the end of 2025, so it is far too early to celebrate victory
over runaway price growth, Nagel, the president of Germany’s
Bundesbank, said in a speech.
Getting price growth back to target in 2025 is
unsatisfactory, given that price growth will be above target for
too long, but it is still an achievement, Nagel, an influential
voice on the ECB’s rate-setting Governing Council, said.
(Reporting by Balazs Koranyi; Editing by Sharon Singleton)
