ECB: Inflation will continue to rise in autumn

The European Central Bank (ECB) stated on Thursday that the inflation in the euro area is expected to continue rising in the autumn, but that it will decline sometime next year

The European Central Bank (ECB) stated on Thursday that the inflation in the euro area is expected to continue rising in the autumn, but that it will decline sometime next year, Qazet.az reports citing Teletrader.

According to the bank's latest Economic Bulletin, the current rise in inflation is expected to be "largely temporary," with increasing oil prices and material and equipment supply shortages as the contributing factors to this hike. The central bank noted that annual inflation for 2021 will likely land at 2.2%, while for 2022 and 2023 it will be 1.7% and 1.5% respectively.

Lastly, the risk to the economic outlook is broadly balanced, while the recovery of growth and inflation are still largely dependent on "favourable" financing for all sectors of the economy.