Monetary policy

Praet says ECB some distance away from meeting inflation goal

European Central Bank monitoring three criteria to decide on ending asset purchases

bloomberg

29.01.2018

European Central Bank chief economist Peter Praet pushed back against the idea that the institution is close to deciding to end its bond-buying program, saying there’s still a way to go before inflation is back on track.

Praet said the ECB is "some distance" from meeting the three criteria that would show asset purchases have done their job. His comments come amid differences within the Governing Council over how fast to move toward the end of crisis-era stimulus, with Dutch central banker Klaas Knot saying on Sunday that the program has done all that can realistically be expected and should end as soon as possible after September.