European Central Bank (ECB) Vice-President Luis de Guindos said on Monday at the 26th Frankfurt Euro Finance Week that the ECB is determined to ensure that inflation returns to its target of 2% "in a timely manner," adding that he thinks current levels of interest rates will contribute to this goal.
On the other hand, he said that "some indicators remain elevated and need to be monitored closely," adding that "further tightening is still in the pipeline from the current policy stance, and it is set to further dampen demand and help push down inflation."
Commenting on the overall state of the eurozone economy, he noted that it is likely to remain "subdued" for some time, but will strengthen again in the medium term as inflation continues to fall, real incomes recover and demand for eurozone exports grows.
