FRANKFURT (Reuters) – European Central Bank (ECB) chief economist Philip Lane revealed in a private meeting with German economists that the ECB expects to hit its 2% inflation goal by 2025, the Financial Times reported on Thursday.
Lane will likely be questioned by outsiders about Lane’s decision to release unpublished data.
The ECB spokesperson declined to comment.
A series of public attacks on policy made by the public forced the ECB chief economic economist to suspend individual meetings with investors earlier this year. However, he continues to meet with groups.
As it slowed its purchases of emergency bonds, the ECB last week updated its forecasts. Inflation is now expected to rise at 2.2%, 1.7% and 1.5% this year respectively.
According to the FT, Lane informed the German economists in Germany that the ECB’s “medium-term” reference scenario showed that inflation would rebound to 2% shortly after its current forecast period.
Central bank pledged to not raise rates until inflation reaches 2% before its forecast period, typically two or three years. Two years ago, the rate rise is expected to be priced by money markets.
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