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ECB's Schnabel: Inflation is not dead despite pandemic impact

Member of the European Central Bank's (ECB) Executive Board Isabel Schnabel noted on Tuesday the inflation was "not dead" despite the heavy impact of the coronavirus pandemic on it and that its current low levels did not mean it "no longer existed."

NEWS IN ENGLISH 12.01.2021, 12:21
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ECB's Schnabel: Inflation is not dead despite pandemic impact
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Euro area annual inflation in December is expected to be -0.3 percent, Eurostat said in a preliminary release on Thursday.
Schnabel stated the ECB expected the inflation to "spike in 2021" from its current negative trends but saw no signs of rising to too high a rate. She added that the increase would be influenced mostly by the growth in energy fees and Germany's tax cuts.
Schnabel also stressed such development, along with the mass vaccination against Covid-19, could lead to a general rise in prices. Still, she noted none of this would substantially impact the ECB's current policies of supporting economies and warned against tightening rates "too soon."

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