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MNI BRIEF: Fiscal-MonPol Crisis Coordination Needed - Makhlouf

Irish central bank head says need greater coordination between policymakers across the spectrum to deal with economic shocks.

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Fears of excessive euro area inflation are overstated, the Governor of the Central Bank of Ireland said in a speech Friday, adding that there is considerable uncertainty over the persistence of price pressures, and urging caution when interpreting both data and models. Structural changes brought about by the pandemic may not yet be visible, Gabriel Makhlouf said.

In light of euro area institutions and governments' response to the coronavirus pandemic, reforms aimed at ensuring that "appropriate coordination between fiscal and monetary policy is achieved systematically and not just episodically," should also be considered, Makhlouf said.