Luis de Guindos, the Spanish economy minister and candidate for the post of Vice president of the European Central Bank, said the ECB is following the right policies for higher inflation and that prices should rise to reach the target in the next quarter.
He said he was confident that inflation would rise, but there was still a need for monetary stimulus and interest rates should only rise after the bond purchases were completed. Speaking before the Committee on Economic Affairs of the European Parliament, he stressed that no one doubts about the stability of prices in the euro area.
Guindos is to be the vice president of the European Central Bank, replacing Portugal's Vitor Constancio in June. The 2.55 trillion euros bond purchase program is expected to end at the end of this year, which the bank launched three years ago.
