Gabriel Makhlouf, a member of the ECB's Governing Council, said that despite the Russian-Ukrainian crisis, the ECB may discuss the issue of faster completion of the quantitative easing program at its March meeting. "In general, there is a possibility that asset purchases will be completed either in the second or third quarter of the year, but this decision will depend "very much" on the new forecasts," he said.
It is premature to assess the impact of the escalation of geopolitical tensions on the economy, Makhlouf said. Meanwhile, the eurozone economy is gradually recovering after the coronavirus, which is reflected in an increase in consumption and an improvement in the labor market situation, he said.
"There is a possibility that at the March meeting we can discuss the prospects of the quantitative easing program. As for changes in interest rates, their prospects now look somewhat uncertain. I would prefer to have a little more opportunities when we start raising rates," Makhlouf said.
Experts note that sanctions against Russia and a further increase in the cost of energy resources complicate the task for the ECB, which wants to reduce inflation, and at the same time not cause a slowdown in the economy. The ECB is expected to announce its policy course at its March meeting, as well as publish new economic forecasts.