ECB does not want to raise more oaths, but it does not lock up tax increases, says Lagarde

The president of the European Central Bank (ECB), Christine Lagarde, said in this fourth fair (22) that the institution is not committed to raising its basic oaths, but also does not close the tax registration process.

In a speech during an event in Frankfurt, Germany, Lagarde stressed that the ECB communicated to the markets a “clear record of registration” for the oaths so that it is evident at the disposal of the monetary authority to fight inflation.

Lagarde said that inflation in the euro zone should slow down sharply this year, thanks to lower energy prices and the increase in supply gaps, but she is confident that “underlying inflation dynamics remain strong” and she does not draw clear signs of diminution.

“Inflation remains high, and uncertainties of its course will increase”, Lagarde said, adding, therefore, that the ECB “must and will bring” inflation back to the official target of 2%.

Lagarde also affirmed that recent tensions in the financial markets, after the bankruptcy of two regional banks in the USA and problems faced by Credit Suisse, will create new negative risks, but guarantee that the ECB has “multiple instruments” to provide liquidity to the financial system, it is necessary.