ECB Governing Council member Yannis Stournaras said that “I cannot say we are out of the woods yet”, as “there has been an acceleration in vaccinations but there are still travel restrictions ”
Also, there is no reason to make any change to the PEPP purchases at the moment. It’s not the right time yet to shift from PEPP to APP purchases. He added, “of course, at some point in the future this will occur, there’s no doubt about that. We have to think about a smooth transition from PEPP to APP.”
He also talked down the threat of inflation and said, “as the economy gets out of the pandemic, supply-side bottlenecks make their appearance but this is expected to smooth out over time.”
