(Finance) – “Considering the continued disinflation we have observed and the progress on underlying inflation, it is becoming It is clear that there is room for a change in our monetary policy stance and, in particular, to make it a little less restrictive. I remain open-minded about when any reduction in our policy rates should occur.” He said this Gabriel Makhloufgovernor of the Bank of Ireland and therefore member of the Governing Council of the European Central Bank (ECB), in a blog post.
“The history of monetary policy teaches us that hasty decisions tend to be bad decisions – he explained – Patience is a virtue. But also waiting for clear and unambiguous evidence is unrealistic and we must manage uncertainty and make decisions based on the evidence in front of us.”
“My current view is that the picture should be sufficiently clearer when the Governing Council meets June (since we will have much more information – particularly on wage dynamics – available in our deliberations) to give us enough trust to make monetary policy less restrictive,” Makhlouf said.