LISBON (Reuters) – The recent rise in inflation in the euro zone and United States is temporary and unlikely to have permanent effects, European Central Bank (ECB) governing council member Mario Centeno said on Monday.
This means the ECB should be able to maintain its current asset purchase programme until March 2022, Centeno said, speaking at a banking conference in Lisbon.
“All analyses in the euro area, the U.S. and other jurisdictions indicate that the phenomena associated with inflation are of a temporary nature,” he said.
Inflation in Europe could be explained by changes to the tax framework in some countries in the region, according to Centeno, alongside supply chain difficulties.
(Reporting by Sergio Goncalves, Writing by Victoria Waldersee)
