Frankfurt, July 8, (dpa/GNA) – The European Central Bank (ECB) will present the results of a review of its monetary policy strategy later on Thursday.
The central bank had decided at the start of last year to scrutinize “all aspects” of its monetary policy within the framework of its mandate to maintain price stability.
As part of the review, opinions were taken across Europe, including those from citizens, academics, members of the European Parliament and civil society organizations.
ECB chief Christine Lagarde has said a main focus of the review is whether the ECB’s inflation target of “below, but close to, 2 per cent” needs to be rethought given the low inflation environment.
The last such review was conducted in 2003. In the intervening years, advanced economies have seen a steady decline in inflation and rising prices are not feared as they once were.
Many experts expect the central bank to aim for a 2 per cent target in the future.
“We need to thoroughly analyze the forces that are driving inflation dynamics today, and consider whether and how we should adjust our policy strategy in response,” Lagarde said last September.
The ECB will release the results of its review at 1 pm (1100 GMT) and Lagarde will hold a press conference about 90 minutes later.
GNA