LJUBLJANA, May 24 (Reuters) - It is too early to conclude that the European Central Bank has revived inflation so it should maintain its package of measures until inflation is self sustaining around its target, ECB policymaker Bostjan Jazbec said on Wednesday.
With growth and inflation on the rise, the ECB has come under pressure from conservative euro zone members to dial back stimulus but doves have so far resisted, arguing that underlying inflation is still too weak so removing stimulus now could undermine their efforts.
“We are in a good position but it is too soon to conclude that we have met our goal so we at the ECB insist on the policy of quantitative easing at least till the end of 2017,” Jazbec, the Slovenian central bank Governor, told Reuters. “Until we have enough proof that inflation is sustainable... I believe that we at the ECB have to retain the package of measures that brought the European economy to present conditions,” Jazbec said.
He added that fresh economic projections due at the June 8 Governing Council meeting would impact any decision on whether to continue the asset buys into next year. (Reporting by Marja Novak; Writing by Balazs Koranyi; Editing by Andreas Framke.)