ECB policy must stay easy as inflation lags target – Constancio

The European Central Bank’s monetary policy must remain easy as inflation in the euro zone continues to lag its 2 percent target despite stronger economic growth and falling unemployment, the ECB’s vice president said on Monday.

“We are not yet fulfilling our mandate and that is why monetary policy will have to continue to be very accommodative, assuring favourable financial conditions to foster growth and spur wages and prices,” Vitor Constancio, a policy dove, told a conference.
Source: Reuters (Reporting By Francesco Canepa; Editing by Balazs Koranyi)