The European Central Bank (ECB) is likely to raise interest rates in December, according to Governing Council member Joachim Nagel. The decision comes amid a deteriorating outlook for inflation, which has worsened since the baseline projection was presented in September.
Nagel, who is also the President of the Bundesbank, made the remarks during a speech in Berlin. He emphasized that even the earlier inflation forecast had already factored in the need for further rate hikes.
The ECB's move would aim to curb rising consumer prices, which have become a growing concern. Nagel's comments suggest that the central bank is prepared to take action to stabilize the economy.