ECB may change its policy in March

Reuters reported, citing informed sources, that the ECB may make adjustments to the monetary policy next month. This will happen provided that inflation in the Eurozone remains at a strong grade. Bank officials said the first remedy would be to reduce asset buybacks. According to this program’s current parameter, in Q2, the number of asset buybacks will be 40 billion euros per month. In the next two quarters, it will be reduced to 30 and 20 billion euros. Also, delegates of the European regulator admit that the rate will be raised already this year. Observers noticed that the head of the bank, Christine Lagarde, in her recent speeches, stopped repeating the phrase about the lack of arrangements to raise interest rates shortly. Reuters writes that some representatives of the ECB believe that it is necessary to make changes to the bank’s policy today. However, such board members are in the minority. However, the asset buyback program could be completed in the 3rd quarter. The decision on this can be taken by the bank at the March meeting.

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Arseny Kudrin

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