ECB Expected To Raise Inflation Forecast Again

EU economy expected to raise inflation forecast again. Central bank policymakers have said that the outlook for price growth in 2023 and 2024 remains unsure The ECB has underestimated how fast Eurozone inflation would rise this year.

European Central Bank policymakers expect the central bank to raise its short-term inflation forecasts next month as uncertainty persists about how quickly it will need to respond to surging prices.

The ECB has consistently underestimated how fast Eurozone inflation would rise this year as the economy rebounded from the coronavirus pandemic. Members of the central bank’s governing council said they expected it to raise its 2022 forecast again in December, according to the minutes of its October meeting, published on Thursday.