ECB Governing Council member Klaas Knot said he had a “different view” to ECB’s projection that inflation will fall back to 1.8% after 2022. He said, “I think the chance we remain stuck above 2% is just as big. Not far above 2%, but still.”
Separately, another governing council member Ignazio Visco said, “(Inflation) forecasts below 2% in 2023-24 are of course subject to both downside and upside risks.”
