ECBs Lagarde speaking at European Parliament
- Surge in Covid 19 cases a significant downside risk to euro area economic activity
- An accommodative monetary policy stance remains essential
- Says if implemented as planned, next generation EU could even boost growth as early as this year
- Ledge to preserve a favorable financing condition is crucial
- A more solid recovery is a precondition for re-anchoring inflation around its pre-pandemic path
- Accommodative monetary policy stance remains essential
- While we expect headline inflation to increase further over the coming months, underlying price pressures are likely to remain subdued
- Despite the steep increase in January due to a confluence of factors, inflation remains low
- Crucial for monetary, fiscal policy to work together
Comments are largely in line with prior comments from the ECB Pres.
