ECB’s Draghi - Global forces holding down inflation

The European Central Bank (ECB) President Draghi, during his speech in Germany, said the global forces are holding down inflation in the Eurozone.

Draghi said, “Central banks act within their mandates to fulfill their mandates. In the euro area, that might create different challenges than it does in other jurisdictions. But those challenges can be mitigated. They do not justify inaction"

Key points

No reason for permanently lower inflation

Adopting a ‘Wait and See Attitude’ could be risky