MNI BRIEF: No Big Change To Monetary Policy Outlook-ECB's Lane

A slightly higher inflation regime in the eurozone is unlikely to make a major difference to monetary policy, European Central Bank Chief Economist Philip Lane told a webcast hosted by MNI.

The upwards shift in expectations seen since December’s projections towards a view of inflation settling at a level around the 2% target will not make a “gigantic, earth-shaking difference” to monetary policy said Lane, who earlier pointed to a structural shift towards a slightly higher inflation regime after the pandemic. Lane responded in a similar way when asked whether the higher price outlook might speed the reduction in the pace of ECB bond purchases.