Analysis: The European Central Bank is unwilling to take risks and repeat the mistakes of 2022.

Joe Nellis of MHA said that the European Central Bank is facing criticism for being too slow to act in the face of rising inflation in 2022, a mistake they do not want to repeat. The central bank voted on Thursday to keep interest rates unchanged. However, with energy prices soaring, there is still a possibility of raising rates in the future. "Returning to monetary tightening would be unwelcome for the already fragile Eurozone economy," Nellis said. The International Monetary Fund has already lowered its outlook for the Eurozone, and if rates are raised, this outlook may be further revised down. But the rapidly rising energy prices may force the central bank to act. Nellis said, "The decision-makers at the European Central Bank realize that they were criticized for not acting quickly enough to alleviate what they considered 'temporary' inflation pressures in 2021-22, so this time they will not take the risk of being too slow to act."