ECB readies first hike since 2011 as it faces policy ‘trilemma’

ECB President Christine Lagarde February 2022

On July 21, the European Central Bank (ECB) is overwhelmingly expected to implement its first interest rate increase since 2011.

The institution faces a challenging outlook as inflation continues rising above the 2% target. In June the Harmonised Index of Consumer Prices (HICP) rose year on year by 8.6%, a new record, up from 8.1% in May. Additionally, recession risk in the eurozone keeps on growing due to higher energy prices and the wider impact of the Russian invasion of Ukraine.

“The

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

If you already have an account, please sign in here.

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: