European Central Bank's Schnabel: Further rate hikes still needed to achieve 2% inflation target

Fabio Panetta, a member of the Executive Board of the European Central Bank, stated that the ECB may need to continue raising borrowing costs to contain inflationary pressures. Panetta said, "The magnitude and timing of future rate hikes will depend on the conflict situation, economic trends, and the evolution of inflation." Despite facing severe energy price shocks, the euro area economy continues to show strong resilience, but energy prices remain high, and the central bank is closely monitoring relevant trends.