The Wall Street Journal

ECB’s New Strategy Emphasizes ‘Forceful’ Responses to Inflation Shifts

The central bank was criticized for being too slow to respond to a pickup in inflation in 2021

The ECB said the outlook for inflation has become more uncertain.
The ECB said the outlook for inflation has become more uncertain. Photo: kirill kudryavtsev/Agence France-Presse/Getty Images

The European Central Bank said it will respond in a “forceful or persistent” manner to big swings in inflation, reflecting the lessons learned from the postpandemic price surge in its latest strategy review.

In common with other central banks, the ECB was criticized for being too slow to respond to a pickup in inflation in 2021 when the annual rate peaked at above 10% by late 2022.

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