Lagarde Says ECB Plans to Raise Rates 50 Bps in March

In Q4 2022, the economy showed resilience despite challenges from Russia's war and the energy crisis, aided by improved supply conditions and fiscal support. Inflation was 8.5% in January, with energy prices dropping but still impacting consumer prices. Wages are rising due to strong employment, with inflation expectations around 2%. Risks to growth and inflation are more balanced, with the ongoing Russia-Ukraine conflict posing a downside risk. The ECB raised interest rates by 50 basis points in February and plans further hikes to address inflation pressures.

What are the expectations for inflation in the near term?

What decision was made regarding the ECB interest rates in February?