By Marta Vilar – MADRID (Econostream) – European Central Bank Governing Council member Peter Kažimír said on Tuesday that policymakers had enough time to assess incoming data before deciding whether to raise interest rates again, while noting that the ECB needed to retain full flexibility to act if necessary.

Speaking at a press conference of the National Bank of Slovakia, which he heads, Kažimír said that “we need full flexibility in order to be able to decide,” adding that “in the current situation, we have enough time, but we also need enough information to know when to act, if that becomes necessary.”

Asked specifically what he wanted to do at the ECB’s October and December meetings, Kažimír declined to give a preference, but reiterated his support for the September rate increase.

“The increase in interest rates was more than appropriate; it was necessary, because the energy shock, the higher energy prices that we are witnessing, are lasting noticeably longer than expected,” he said.

Energy prices would remain the key factor determining the ECB’s next steps, Kažimír said, with policymakers needing to closely monitor their indirect and second-round effects.

He singled out the beginning of next year as particularly important, warning that higher energy costs could feed into the regular repricing of goods and services in January.

“For me, what happens in January next year will really be key,” he said. “We could experience an unpleasant surprise in the form of a jump in inflation.”