ECB’s Schnabel: Inflation to Decline More Slowly From Here

21 November 2023

By Isabel Teles – FRANKFURT (Econostream) – European Central Bank Executive Board member Isabel Schnabel on Tuesday said that the process of getting inflation to the ECB's price stability target would be slower from now on.

Speaking at the University of Würzburg in Germany, she warned to expect a 'temporary uptick' in headline inflation. ‘We will need two years to get inflation from 2.9% to 2%', she said.

According to the slides of her presentation published on the website of the ECB, inflation would approach the 2% target only in the second half of 2025, despite the sharp fall seen since the end of 2022 to date.

Recently, Schnabel said that the ‘last mile’ of the disinflation process was uncertain and required close vigilance.