Christine Lagarde: Growth Outlook Faces Downside Risks

European Central Bank President Christine Lagarde said conflict remains the main source of uncertainty. According to Jin10, she added that the ECB is closely watching the size and duration of the rise in energy prices, as well as how it affects inflation expectations and overall economic dynamics in price and wage setting. Lagarde said the growth outlook faces downside risks. She said leading indicators show economic growth will remain modest in the near term due to the energy shock and related uncertainty, while the underlying drivers of growth remain solid in the medium term.