Print this page

European Central Bank chief economist Peter Praet pushed back against the idea that the institution is close to deciding to end its bond-buying program, saying there’s still a way to go before inflation is back on track. Praet said the ECB is “some distance” from meeting the three criteria that would show asset purchases have done their job. His comments come amid differences within the Governing Council over how fast to move toward the end of crisis-era stimulus, with Dutch central banker Klaas Knot saying on Sunday that the program has done all that can realistically be expected and should end as soon as possible after September.

With the economy growing strongly, ECB President Mario Draghi acknowledged last week that policy makers are more confident that inflation will return to their target. Yet he also warned that price growth is still dependent on stimulus, and that officials haven’t started a proper discussion on ending asset purchases, which are set to run until at least September at a monthly pace of 30 billion euros ($37 billion).