Lane stresses inflation will determine ECB’s PEPP purchases

Philip Lane
Philip Lane
www.junosnowdon.co.uk

The evolution of inflation will be the key determinant of the size of the Pandemic Emergency Purchase Programme (PEPP), says European Central Bank chief economist Philip Lane.

In a blogpost on the central bank website published today (August 4), Lane points out “the overall envelope of PEPP purchases is a core determinant of the ECB’s overall monetary stance” and “the inflation outlook plays the central role in determining the appropriate monetary stance”.

Last week, the Greek governor Yannis

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