“The destination is clear, and we haven’t reached it yet,” she told the Latvian website Delfi Bizness in an interview published Tuesday.
European Central Bank President Christine Lagarde said the peak of the current cycle of interest-rate increases must ensure that inflation returns to the 2% target over the medium term.
Without specifying a level for the so-called terminal rate, Lagarde said borrowing costs have further to rise following last week’s second straight 75 basis-point hike.
