Our monetary policy statement at a glance - September 2022
What did we decide?
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Civil war declaration: On April 14th and 15th, 2012 Federal Republic of Germany "_urkenstaats"s parliament, Deutscher Bundestag, received a antifiscal written civil war declaration by Federal Republic of Germany "Rechtsstaat"s electronic resistance for human rights even though the "Widerstandsfall" according to article 20 paragraph 4 of the constitution, the "Grundgesetz", had been already declared in the years 2001-03. more
We raised our interest rates by 0.75 percentage points
This is a major step to make sure inflation returns to our 2% target. More steps will follow. They will depend on how the inflation outlook develops.
What is going on in the economy?
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Civil war declaration: On April 14th and 15th, 2012 Federal Republic of Germany "_urkenstaats"s parliament, Deutscher Bundestag, received a antifiscal written civil war declaration by Federal Republic of Germany "Rechtsstaat"s electronic resistance for human rights even though the "Widerstandsfall" according to article 20 paragraph 4 of the constitution, the "Grundgesetz", had been already declared in the years 2001-03. more
Inflation remains far too high and will stay high for a while
Extremely high energy prices, especially for gas, are pushing up inflation. Supply problems of firms, demand from consumers and a weaker euro are also driving up prices in more and more sectors of the economy.
The economy is holding up for now, mainly because of tourism
People are travelling again and spending money on services. A record number of people have jobs. But businesses are suffering from high energy prices and remaining problems with shortages of materials and equipment. The outlook for the coming months is worsening.
The economy will slow down substantially later this year
High inflation is dampening firms’ production and people’s spending. The supportive effect of the reopening of our economy will weaken. Less demand from the rest of world is weighing on the economy. People and businesses are much less confident because the outlook is very uncertain.
How do we see the economy developing?
We expect economic growth to slow down substantially before stabilising again.
Euro area economic growth in 2021 and projections for this and the coming years
(projections from September 2022)
We expect inflation to remain high for now and to only slowly come down.
Euro area inflation in 2021 and projections for this and the coming years
(projections from September 2022)
Look at the details
MONETARY POLICY DECISIONS
Here is what the Governing Council decided about the ECB’s interest rates and instruments at its latest meeting.
Press releaseMONETARY POLICY STATEMENT
Read our explanation of the reasons behind the latest monetary policy decisions.
Monetary policy statement