ECB's Makhlouf Emphasizes Commitment to 2% Inflation Target

The European Central Bank (ECB) is determined to bring the inflation rate back to its established target, according to ECB Governing Council member Gabriel Makhlouf. According to Jin10, Makhlouf refrained from disclosing whether achieving this goal would necessitate an interest rate hike next month. He stated, "Our primary objective must be to fulfill the commitment to a 2% inflation target. We will take all necessary actions to achieve this 2% target, which is why the market has made related expectations." With only two weeks remaining until the ECB's next policy meeting, investors and economists widely anticipate a 25 basis point rate hike by the central bank. Some of Makhlouf's colleagues have also publicly expressed support for a rate increase, while others insist that the ECB should continue with a cautious "meeting-by-meeting" approach.