ECB’s Villeroy: ‘We Should be Agile and Pragmatic’, No Pre-Determined Path

17 June 2025

ECB’s Villeroy: ‘We Should be Agile and Pragmatic’, No Pre-Determined Path
François Villeroy de Galhau, governor of the Banque de France, at the European Central Bank Forum on Central Banking in Sintra on July 2, 2024. Photo by the ECB under CC BY-NC-ND 2.0.

By Marta Vilar – MADRID (Econostream) – European Central Bank Governing Council member François Villeroy de Galhau said on Tuesday that the ECB should remain ready to act as warranted and that there was no pre-determined path for interest rates.

In the FT Live conference in London, Villeroy, who heads the Banque de France, said that the ECB ‘should be agile and pragmatic.’

‘There is no pre-set course’, he added.

The ECB should be ready to act quickly on interest rates if necessary, he said.

Villeroy was aware of recent oil price fluctuations, he said.

The exchange rate ‘plays against inflation because we have seen an appreciation not since last Thursday but in the more recent weeks’, he said. ‘We should incorporate this analysis of the exchange rate in our monetary policy decision.’

 

Related articles:

·      ECB’s Villeroy: Next Rate Steps Will Depend on Inflation, My Position Not ‘Set in Stone in Advance’

·      ECB’s Villeroy: This ‘Favourable’ Interest-Rate Zone Does Not Mean Being ‘Static’

·      ECB’s Villeroy: ‘We Have Won the Battle Against Inflation in Europe’