The strong cyclical momentum and ongoing reduction of economic slack have strengthened confidence among the members of the ECB’s Governing Council that inflation will gradually converge towards the inflation aim of a rate below, but close to, 2 per cent in the medium term.
This is why we recalibrated our monetary policy interventions last October, while maintaining the highly expansionary conditions intended to ensure a lasting return to price stability. We have extended the duration of the APP until September of this year, trimming our monthly purchases to € billion.