Regulatory News
Lane says ECB stays in 'middle path' after energy shock
Philip R. Lane said the ECB remains in the “middle path” for policy and that the policy rate was raised from 2.00% to 2.50% over June and September projection rounds.
- Lane said September inflation was 3.8%
- He said the ECB is not on a pre-committed rate path
- He said the policy rate was raised from 2.00% to 2.50% over two projection rounds
Action
Philip R. Lane, a member of the ECB Executive Board, said the ECB remains in the “middle path” for monetary policy. He said a measured response is appropriate to keep inflation in check.
He said the ECB will base future interest-rate decisions on a meeting-by-meeting, data-dependent basis. He also said the ECB is not on a pre-committed rate path.
Respondents
Lane delivered the keynote speech at the ECB Conference on Monetary Policy 2026: bridging science and practice in Frankfurt am Main on 5 October 2026.
He said recent September inflation data showed headline inflation at 3.8%, with energy inflation at 18.8% and non-energy inflation at 2.3%.
Effective
Lane said the ECB’s September projections expect non-energy inflation to rise to an average of 2.6% in 2027 before falling back to 2.3% in 2028.
He said it was prudent to raise the policy rate from 2.00% to 2.50% over the course of two projection rounds in June and September.
Penalty
No penalty was announced.
Fuente: ECB,