For those acquainted with the Bundesbank it was immediately clear that nothing of any substance was being reported. Of course, it pains me to see how frivolously fears are being aroused, particularly at a time when people are already very uncertain.
At the public hearing, the Bundesbank referred in terms of substance to something quite trivial: if Germany, which was once the “sick man” of Europe, is now taking the lead in Europe economically – and the economic situation has now been reversed compared with the first few years of monetary union – then this will, naturally, also have an impact on the inflation rate.