Subscribe here: https://bit.ly/eudebates As you will appreciate, I’m not going to give you an answer that is country-specific because we work on a euro area basis. But obviously it’s a risk that we have to be attentive to, which is why we are targeting that 2% sustainably, has to be as symmetric in the medium term as we have anticipated in our in our strategy review, which remains completely valid. You mentioned energy. Energy has been one of the key factors that took prices up directly and indirectly through all sorts of channels. And in the same vein as it took prices up, it is helping to move prices down. This is an exogenous matter, and it is one that can move again and that we have to be prepared for. I think I have partially responded to your second question. Some of the proposals in the Draghi report as well as in the Letta report, by the way - because achieving the single market and improving competitiveness in our view can be very complementary - touch directly on what we are specifically concerned about. And the Capital Markets Union is one in particular on which the Governing Council has had a strong view and issued a special opinion upon. In the same vein, the financing of innovation, the increase of productivity and competitiveness in relation to its external position, all of that matters when it comes to the work that we have to do. I didn’t see in Mario Draghi’s report any suggestion that the mandate of the ECB should be modified. We have a single mandate, as you know, which is price stability. We comply with the treaty and with the mandate that was given by the founding fathers of Europe. And we will deliver on that mandate. And whatever is suggested by Mario Draghi has a lot more to do with structural reforms. And I very much hope that the executive authorities in charge will actually take it to heart and we’ll see a path towards those structural reforms. ECB President Christine Lagarde reaffirms a data-driven approach to rate decisions while urging structural reforms, citing Mario Draghi's competitiveness report. The ECB lowered its deposit rate by 25 basis points, with inflation and growth forecasts largely unchanged. European Central Bank (ECB) President Christine Lagarde reaffirmed a cautious, data-dependent approach to monetary policy, stressing that decisions would be made "meeting by meeting" based on economic data, without committing to a fixed rate path. At its September meeting, the ECB cut its deposit facility rate by 25 basis points to 3.5%, as expected, stating that “it is now appropriate to take another step in moderating the degree of monetary policy restriction.” However, Lagarde underscored that future policy moves remain uncertain and will depend on incoming economic indicators. “Our interest rate decisions will be guided by the inflation outlook, incoming data, and the transmission strength of our monetary policy.” The ECB’s September interest rate decision and economic outlook Lagarde stated that the decision to lower the deposit facility rate by 25 basis points to 3.5% was taken unanimously. Other key rates were adjusted as part of broader changes to the monetary policy framework, effective from 18 September. Notably, the main refinancing operations rate was cut by 60 basis points to 3.65%, narrowing its spread to the deposit facility rate to 15 basis points. The marginal lending facility rate was similarly reduced by 60 basis points to 3.9%, preserving a 25-basis-point spread over the refinancing rate. Regarding the economic outlook, recent inflation data has come in as expected, with ECB's new staff projections aligning with earlier forecasts. Headline inflation is forecast to average 2.5% in 2024, 2.2% in 2025, and 1.9% in 2026, consistent with June's projections. “Inflation is expected to rise again in the latter part of this year, partly because previous sharp falls in energy prices will drop out of the annual rates. It should then decline towards our target over the second half of next year,” Lagarde explained. On the growth side, the eurozone economy is expected to grow by 0.8% in 2024, rising to 1.3% in 2025 and 1.5% in 2026, a slight downward revision due to weaker domestic demand over the coming quarters. “The risks to economic growth remain tilted to the downside,” Lagarde said, adding that “credit growth remains sluggish amid weak demand.” Stay connected with us! Facebook: https://www.facebook.com/eudebates.tv/ Twitter: https://twitter.com/eudebates Instagram: https://www.instagram.com/eudebates.tv/ #eudebates the unique initiative aiming to promote debate, dialogue, knowledge, participation and communication among citizens. #ECB #Lagarde #inflation #EURO #Banks #Economy #Currency #BankingUnion #Eurozone #Eurogroup #GDP #NextGenerationEU #MFF #EUbudget