ECB’s de Cos: General perception is that monetary policy will keep expansive tone 'during dilated time'

Dhwani Mehta FXStreet

Touching upon the topic of monetary policy, the European Central Bank (ECB) Governing Council member and Spanish central bank chief Pablo Hernandez de Cos said, the general perception is that the ECB’s monetary policy will keep expansive tone 'during the dilated time'.

“The longer the inflation increases last, the likelier it will gain persistence,” he added.

Further comments

“Debt-to GDP ratio would remain at 115% if no budget consolidation measures are taken. “

“Yields on Spanish long-term debt rising due to inflation dynamics.”

Earlier on, he said that the central bank will likely keep observing relatively high inflation rates in the coming months.

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