• Email Us: [email protected]
  • Contact Us: +1 718 874 1545
  • Skip to main content
  • Skip to primary sidebar

Medical Market Report

  • Home
  • All Reports
  • About Us
  • Contact Us

ECB faces call to end private meetings after Lane leak

September 17, 2021 by David Barret Leave a Comment

September 17, 2021

By Francesco Canepa

FRANKFURT (Reuters) -The European Central Bank is facing a call to stop the practice of holding closed-door meetings with the private sector after ECB Chief Economist Philip Lane reportedly disclosed an unpublished inflation forecast at one such event.

The Financial Times reported on Thursday that Lane had revealed in a private meeting with German economists that the ECB expects to hit its 2% inflation goal by 2025 – information that was not in the public domain and which could be used to make inferences about the future path of interest rates.

The newspaper’s report was partly disputed by the ECB, the central bank for the 19 countries that share the euro currency.

Sven Giegold, a prominent member of the European Parliament, told Reuters he would request in a letter to ECB President Christine Lagarde that such meetings be stopped.

“The ECB has to end the practice of exclusive meetings with the private sector where it is not transparent what they said,” Giegold told Reuters.

An ECB spokesperson declined to comment on Giegold’s remarks.

Euro zone government bond yields rose and the euro rebounded after the FT report was published, and did not reverse the move after the partial denial. [GVD/EUR]

The FT said Lane had told the audience that the ECB’s “medium-term reference scenario” showed inflation rebounding to 2% “soon after the end of its three-year forecast period”.

The ECB disputed the details of the report, which it called inaccurate, and the FT’s conclusion that euro zone interest rates could be raised in 2023.

“Mr Lane didn’t say in any conversation with analysts that the euro area will reach 2% inflation soon after the end of the ECB’s projection horizon,” an ECB spokesperson said in a written statement early on Friday.

Asked about the 2025 date mentioned by the paper, the spokesperson did not comment.

A spokesperson for the Financial Times said the newspaper stood by its reporting and article.

Giegold, the Greens’ coordinator on the European Parliament committee that oversees the ECB, said the confusion showed the ECB’s communication approach had “totally failed”.

“You don’t know whether to believe the newspaper or the ECB’s public message,” the German politician said.

“This approach has totally failed and the ECB has to change strategy.”

He said the ECB should either end such meetings altogether or publish recordings to avoid any confusion.

The ECB updated its economic forecasts last week, when it also reduced the pace of its pandemic emergency bond purchases. It now sees inflation at 2.2% this year, 1.7% next year and 1.5% in 2023.

The central bank has pledged not to raise rates until it sees inflation hitting 2% well before the end of its forecast horizon, which is typically between two and three years. Money markets have priced in a rate hike three years from now.

Earlier this year, Lane was forced to suspend one-on-one meetings with investors immediately following policy meetings, due in part to public criticism of such engagements. But he has still been meeting with groups of economists.

At the time ECB President Lagarde defended https://ift.tt/2Y2XZaX “exchanging views with representatives of the private sector − including financial market participants” because they help transmit the central bank’s policy to the economy.

(Editing by Catherine Evans)

Source Link ECB faces call to end private meetings after Lane leak

David Barret
David Barret

Related posts:

  1. First trailer for Netflix’s Red Notice crams in massive star power and big action
  2. U.S. has no plans to release billions in Afghan assets, Treasury says
  3. Athletics-Venezuela’s Rojas targets 16-metre triple jump
  4. Australia COVID-19 cases rise but vaccination surge gives hope

Filed Under: News

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Primary Sidebar

  • Have You Seen This Snake? Florida Wants Your Help Finding Rare Species Seen Once In 50 Years
  • Plague Confirmed In Lake Tahoe Area For First Time In 5 Years, California Officials Say
  • Supergiant Star Spotted Blowing Milky Way’s Largest Bubble Of Its Kind, Surprising Astronomers
  • Game Theory Promised To Explain Human Decisions. Did It?
  • Genes, Hormones, And Hairstyling – Here Are Some Causes Of Hair Loss You Might Not Have Heard Of
  • Answer To 30-Year-Old Mystery Code Embedded In The Kryptos CIA Sculpture To Be Sold At Auction
  • Merry Mice: Human Brain Cells Transplanted Into Mice Reduce Anxiety And Depression
  • Asteroid-Bound NASA Mission Snaps Earth-Moon Portrait From 290 Million Kilometers Away
  • Forget State Mammals – Some States Have Official Dinosaurs, And They’re Awesome
  • Female Jumping Spiders Of Two Species Prefer The Sexy Red Males Of One, Leading To Hybridization
  • Why Is It So Difficult To Find New Moons In The Solar System?
  • New “Oxygen-Breathing” Crystal Could Recharge Fuel Cells And More
  • Some Gut Bacteria Cause Insomnia While Others Protect Against It, 400,000-Person Study Argues
  • Neanderthals And Homo Sapiens Got It On 100,000 Years Earlier Than We Thought
  • “Womb Of The Universe”: Native American Tribal Elders Help Archaeologists Decipher Ancient Rock Art In Missouri Cave
  • 16,000-Year-Old Paintings Suggest Prehistoric Humans Risked Their Lives To Enter “Shaman Training Cave”
  • Final Gasps Of A Dying Star Seen Through A Record-Breaking 130 Years Of Data
  • COVID-19 “Vaccine Alternative” Injection Could Be On Fast-Track To Approval From FDA
  • New Jersey Officials Investigate Possible First Locally Acquired Malaria Case Since 1991
  • First-of-Its-Kind Bright Orange Nurse Shark Recorded Off Costa Rica Makes History
  • Business
  • Health
  • News
  • Science
  • Technology
  • +1 718 874 1545
  • +91 78878 22626
  • [email protected]
Office Address
Prudour Pvt. Ltd. 420 Lexington Avenue Suite 300 New York City, NY 10170.

Powered by Prudour Network

Copyrights © 2025 · Medical Market Report. All Rights Reserved.

Go to mobile version