Le Maire: ‘Full trust’ in Greek, Italian govt’s to make right moves on economy
French Finance Minister Bruno Le Maire said on Wednesday that he had “full trust” in the governments of Greece and Italy that they would take the right decisions, when asked on the latest surge in bond yields hitting southern eurozone countries.
Government borrowing costs have soared on the 19-country currency bloc’s periphery since the ECB unveiled plans last Thursday to raise interest rates to tame painfully high inflation that is at risk of becoming entrenched.
Le Maire also said the euro zone was “in the middle of an inflation peak” which would last until the end of the year “at least”, but added there was still a lot of uncertainty.
He told Les Echos in an interview that he expects inflation levels to remain high until the end of 2023, adding that “even after 2023, inflation will be structurally higher than what we have been experiencing for the last few decades.”
Eurozone inflation rose to another record last month, boosting government bond yields.
[Reuters]
