© Reuters. FILE PHOTO: European Central Bank (ECB) Vice-President Luis de Guindos attends a news conference on the outcome of the meeting of the Governing Council, in Frankfurt, Germany, September 12, 2019. REUTERS/Ralph Orlowski
BERLIN (Reuters) – The European Central Bank might raise interest rates at its current pace for a period of time to curb inflation, said Vice-President Luis de Guindos.
“If we do nothing, the situation would be worse because inflation is one of the factors behind the current recession,” he said in an interview with Le Monde paper published on Thursday.
“I am concerned that markets could underestimate the persistence of inflation,” he said.