Fabio Panetta told Spanish newspaper El Pais in an interview published on Sunday, “the ECB has failed to reach its aim for too many years already.” And, “we cannot be satisfied with inflation at 1.2% in 2022 and 1.4% in 2023. The argument that we could extend the horizon to meet the aim is not a convincing one.”
“Waiting will be even more costly,” Panetta added. “It would make it more difficult to re-anchor inflation expectations and we would risk a permanent reduction of economic potential.”
