On September 12, CNBC reported that Edward Scicluna, a member of the European Central Bank’s management committee, said in an interview that the rate increase in the future might be less than 75 basis points last week.
Scicluna said, “this will not be the only interest rate increase. There will be several more.” Scicluna, the governor of the Central Bank of Malta, is a relatively dove member of the central bank’s management committee. Scicluna said that 75 basis points would not become the normal.
The European Central Bank raised interest rates by 75 basis points last week, with unprecedented tightening. An insider familiar with the central bank’s internal discussions said that if the inflation outlook showed that there was reason for further large-scale action, officials were ready to raise interest rates by a large margin again at the October meeting.