The ECB, like all other central banks, is not able to influence consumer price inflation in the short term owing to the time-lags of monetary policy. Moreover, such first-round effects do not infringe upon the ECB’s objective of price stability, since the latter is to be fulfilled in the medium term.
This would underscore our commitment to ensuring that inflation returns to the medium-term target of 2% in a timely manner. It would also send out another clear message from the Governing Council about combating inflation. However, the Governing Council is sometimes accused of raising interest rates irrespective of economic developments and thus exacerbating the economic weakness in the euro area.