Bundesbank President Joachim Nagel said on Sunday, “If the data trend continues, more interest-rate increases have to follow — that’s already agreed in the Governing Council. We have to be determined, in October and beyond.”
Nagel added that interest rates are still “somewhat off the levels” to curb inflation. “We must bring inflation back under control,” he said. “We mustn’t let up, even if the economy worsens.”
On the German economy, he said that momentum will likely slow in Q3 and Q4, but he’s confident that it could avoid a steep slump.
