ECB dissenter Orphanides heralds deflation threat

Athanasios Orphanides, the governor of the Central Bank of Cyprus and a staunch advocate of a looser monetary-policy stance, has warned of the increasing threat of the eurozone deflation.

Eurozone inflation is estimated at 0.6% for the year to March, the lowest level since the introduction of the single currency. Orphanides told Bloomberg, a news agency: "If inflation threatens to remain significantly below 2% for a considerable period of time, then additional policy easing could be warranted