ad
December 20, 2014 • 5:32
<- Subtitle -> <- // NAO & Eacute!; BBC - INI // -> <- // Author Home // -> <- Author fim // // -> <- // NAO & Eacute!!!; ! BBC - FIM // ->
The VP Bank Central European, Vitor Constancio said in an interview in a magazine that expected inflation in the Eurozone is negative in the coming months, but added that it would be a temporary phenomenon and saw no risk of entering into deflation. . In a wheel of the ECB in Frankfurt on October 26, 2014 picture, Vitor Constancio,
Photo: Ralph Orlowski / Reuters
The European Central Bank Vice President Vitor Constancio said in an interview in a magazine that expected inflation in the Eurozone is negative in the coming months, but added that it would be a temporary phenomenon and that did not see the risk of entering into deflation.
The annual inflation in the euro zone fell 0.3 percent in November as falling energy wrecks, placing it well below the ECB target reaching a rate slightly below two percent.
In early December, the Central Bank had pevista inflation of 0.7 percent for 2015, but Constancio addressed the issue in an interview the German weekly WirtschaftsWoche saying that oil prices had fallen 15 percent since then, which should promote growth and increase long-term inflation, but generated a misleading situation in the short.
“We now expect a negative inflation in coming months, and that is something that all central banks have to take into account” Constancio said in the interview to be published in full on Monday.
But denied that few months of negative rate were to lead to deflation: “We would need negative inflation rates for a long time for that. It is only a temporary phenomenon, I see no danger. “
He added that the increase in productivity in countries like Esana or Ireland may lead to an increase in wages, which could offset the decline in Inflation
No comments:
Post a Comment