European Central Bank shifts inflation target upwards to 2%
by Phillip Inman from on (#5M0CH)
ECB denies moving the goalposts as prices begin to rise' and says new strategy will be easier to communicate
The European Central Bank (ECB) has overhauled its rulebook to allow for the expansion of its unprecedented stimulus programme in a direct rebuff to German politicians concerned that printing billions of extra euros this year will spark an inflationary spiral.
After an 18-month review, the central bank for the 19-member eurozone said it would shift its inflation target from below but close to 2%" to a 2% target it said was easier to communicate to financial markets and the public.
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