Volker Wieland points to lessons from the past in inflation ("Plusminus")

The European Central Bank (ECB) is heading towards a turnaround in interest rates at its next meeting on June 6. In an interview with ARD's “Plusminus” magazine, Prof. Volker Wieland put the current inflation trend into perspective and referred to the 1970s, when inflation first fell after the oil price shock, but then rose again.

“This is exactly what the central bankers are afraid of,” Wieland said. ECB representatives have also recently pointed out several times that the last mile is the most difficult.

According to the statistics authority Eurostat, the annual inflation rate in the euro area was 2.4% in April 2024, unchanged from March 2024. Since September, the key interest rate at which banks borrow money from the ECB has been 4.5%. The ECB is aiming for an inflation rate of 2% in the medium term.

ARD-Plusminus: "Zinswende - wenn die Kredite wieder billiger werden"