De Guindos: Recession in 2023 ECB's worst scenario - Breaking The News

De Guindos: Recession in 2023 ECB's worst scenario

22 June

1 min read

EPA-EFE/JULIEN WARNAND

European Central Bank Vice President Luis de Guindos (pictured) said on Wednesday that the ECB's worst scenario shows a recession in 2023 and that it is based on a potential natural gas embargo against Russia by the European Union.

Speaking at a virtual event hosted by Universidad Internacional Menendez Pelayo and the Asociacion de Periodistas de Informacion Economica, de Guindos revealed that the ECB Governing Council is accelerating the work to prepare its upcoming anti-fragmentation instrument. ECB is concerned about the risks of fragmentation and is committed to fighting it, the policymaker added.

The inflation in the euro area will stay elevated at above 8% over the coming months, but should start easing after the summer, he predicted.

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