ECB Governing Council member Stunaras said that we must pay attention to the risk of rising inflation, but we should not act hastily. The governor of the Bank of Greece said in an interview on Saturday that although there has been no second round of influence on wages and the like so far, this is “good news,” but it cannot be taken for granted that this situation will continue. “We are facing a series of ongoing supply-side shocks, and we cannot turn a blind eye to them. At the same time, demand is also strong due to fiscal expansion and booming investment in artificial intelligence.” While attending a meeting of European finance ministers and central bank governors in Dublin, he said, “We must remain vigilant.” There is still a month until the next decision. Stunalas said he has not made up his mind, and the various economic forecasts prepared by the ECB may serve as a guide. “If inflation soars or energy costs rise in September, leaving us in an unfavorable situation, then the possibility of an October rate hike cannot be ruled out,” he said. “But if there is some uncertainty, we won't take any action and wait for the next round of predictions. There's no need to rush.” Stunalas warned that the current situation is still volatile. “If economic data shows that economic resilience is unsustainable or growth in economic activity is slowing down, I think this would be a reason not to raise interest rates, but to suspend interest rate hikes,” he said. Furthermore, “if an agreement is reached in the Middle East, energy prices may fall rapidly again.”

ECB Governing Council member Stunaras said that we must pay attention to the risk of rising inflation, but we should not act hastily. The governor of the Bank of Greece said in an interview on Saturday that although there has been no second round of influence on wages and the like so far, this is “good news,” but it cannot be taken for granted that this situation will continue. “We are facing a series of ongoing supply-side shocks, and we cannot turn a blind eye to them. At the same time, demand is also strong due to fiscal expansion and booming investment in artificial intelligence.” While attending a meeting of European finance ministers and central bank governors in Dublin, he said, “We must remain vigilant.” There is still a month until the next decision. Stunalas said he has not made up his mind, and the various economic forecasts prepared by the ECB may serve as a guide. “If inflation soars or energy costs rise in September, leaving us in an unfavorable situation, then the possibility of an October rate hike cannot be ruled out,” he said. “But if there is some uncertainty, we won't take any action and wait for the next round of predictions. There's no need to rush.” Stunalas warned that the current situation is still volatile. “If economic data shows that economic resilience is unsustainable or growth in economic activity is slowing down, I think this would be a reason not to raise interest rates, but to suspend interest rate hikes,” he said. Furthermore, “if an agreement is reached in the Middle East, energy prices may fall rapidly again.”