ECB's Lagarde Says Inflation Expected to Remain Too High

The ECB is committed to reducing inflation to a 2% medium-term target. Despite a decline, inflation remains high, prompting a 25 basis point increase in key interest rates. This decision reflects the inflation outlook and monetary policy transmission. While inflation is expected to drop, it will stay above target for some time. The ECB will continue a data-dependent approach to set restrictive interest rates as needed.

What is the ECB's medium-term target for inflation?

• 3%

• 1%

• 2%

• 4%

By how many basis points did the ECB decide to raise the interest rates?

• 20 basis points

• 25 basis points

• 15 basis points

• 10 basis points

What is the expected trend for inflation over the remainder of the year?

• It will remain stable.

• It will decrease below the target.

• It will drop further but remain above target.

• It will increase significantly.

What is the ECB's approach to determining future interest rate levels?

• A quarterly review approach

• A random approach

• A data-dependent approach

• A fixed approach

What factors will the ECB consider in its future interest rate decisions?

• Weather conditions

• Inflation outlook and economic data

• Public opinion

• Political stability