Annual inflation to remain low in near-term – ECB’s Draghi

FXStreet (Mumbai) - On inflation, ECB President Draghi assured markets that recovery in the oil prices would drive inflation higher next year, but expressed the possibility of annual HICP staying very low in the near-term.

Draghi attributed the sub zero September inflation number to the drop in the energy prices. He added further that there is a risk of inflation slowing further and the governing council is monitoring such risks.

On a final note, Draghi said the slow pace of structural reforms is hampering economic recovery and the monetary policy is not the only game in town, and support from other areas is needed.