- Extent of the effect of the conflict in Ukraine will depend on the evolution of the conflict
- Says outlook is 'highly uncertain'
- Growth revised down in near term
- Inflation is more broadly based
- Inflation still expected to decrease progressively
- Path for rates will be determined by forward guidance
- Omicron having milder impact on economy that previous waves and restrictions being lifted
- Impact of 'massive energy shock' may be cushioned by pandemic savings and compensatory schemes
- Growth to remain weak in Q1
- Energy costs pushed up Feb inflation 31% and prices have risen further
- Most measures of underlying inflation have risen above 2%
- How long high prices will last is uncertain
- Risks to the economic outlook have increased substantially and are tilted to the downside
- Warns on risk of a loss of economic confidence
The tone was decidedly somber with repeated risks on lower growth and higher inflation.
