Euro zone growth disconnected from inflation: Praet

Euro zone growth disconnected from inflation: Praet

Francois Lenoir

"We are undoubtedly experiencing a solid, broad-based and resilient economic recovery that is contributing to a narrowing of the output and unemployment gaps," Praet said in Washington. "But there still appears to be a disconnect between growth and inflation."

He added that the state of monetary policy transmission, that is how well the ECB's stimulus is transmitted to the economy via financial markets and banks, will influence the bank's decision on stimulus.

(Reporting by Balazs Koranyi; Editing by Francesco Canepa)

TOP READS FROM THE FISCAL TIMES