According to economists, the European Central Bank (ECB) will wait at least 1.5 more years for an interest rate hike.
According to economists, after the end of asset purchases in March, the ECB’s first post-pandemic interest rate hike will be in September 2023. This means that the ECB will be almost two years behind the Bank of England in interest rate hikes. The UK has already started interest rate hikes to combat inflation.
The Bank of England is expected to raise interest rates for the second time next week. The US Federal Reserve also signaled an interest rate hike in March at this week’s meeting.
ECB President Christine Lagarde, on the other hand, stated that there are differences between the three economies in her latest statement on interest rate hike expectations.
Economic growth in the Euro Zone slowed sharply at the end of last year, and the IMF revised its 2022 forecasts downwards.
