Stournaras sees ECB rate cut this summer

Bank of Greece Governor Yannis Stournaras has told Kathimerini he expects the European Central Bank to start reducing interest rates this summer, as inflation is easing much faster than expected.

Although ECB President Christine Lagarde's statements at a press conference on Thursday were "translated" by the markets as being less "aggressive" about a possible start of the easing cycle, even in the spring, the Greek central banker, who is also an ECB Governing Council member, believes that as of June the ECB will be ready to make a move.

Stournaras, who about six months ago said that the ECB would be ready to cut interest rates when inflation drops to close to 3%, is sticking to his position. "The news is good on the inflation front, and if this trend continues then we will be able to start reducing interest rates after the end of the year's first half," he noted to...