The ECB internally recognizes that the big beneficiaries of the inflationary wave are the big companies

From their offices, those responsible for the European Central Bank (ECB) They have recognized that large companies are the ones that are benefiting the most from the inflationary escalation that the economy is currently experiencing. Eurozone. Workers and consumers, by contrast, are the ones “footing the bill,” according to reports Reuters.

In the last nine months, the macroeconomic explanation given by the ECB indicated that high prices (energy costs, food, computer chips…) were affecting companies in the 20 countries of the euro zone. Corporate profits, precisely, are what are feeding the inflationary wave. Contrary to what happens in the US, in Europe the demand is not saturated the economy.

Madis Muller, head of Estonia’s central bank, predicts that the ECB’s interest rate hike on March 16 will not be the last. “It is also quite possible that interest rates will need to stay high for quite some time, so that we can be sure that inflation will return and will remain close to 2%“, has clarified Müller.

In February, headline inflation fell slightly to 8.5%, due to the decrease in the cost of energy. However, the prices of most other items have risen again. The increase in core inflation at 5.6% invites the ECB to toughen its monetary policy measures. Markets predict another rise of 50 basis points for May 4.

UP asks for solutions to alleviate the price of food

In Spain, United We Can He has asked his government partners to take measures to intervene in the price of food. In December, the PSOE carried out a measure to reduce VAT on some foods. However, this initiative does not seem to have had a great effect, according to the latest CPI data published by the National Institute of Statistics.

The Minister of Agriculture, Luis Planas He assured that the escalation of inflation has already reached its ceiling, so it should begin to be noticed in the rest of the food industry. UP, however, has put three measures on the table to help family consumption.

On the one hand, limit prices to return them to levels of February 2022, prior to the war in Ukraine. Also fix the price of some basic products through the Retail Trade Law. And, on the other hand, granting a bonus of 14% of the families’ shopping basket.

Related articles

Euro blue today: the minute by minute of the price for this Monday, May...

He euro blue today friday may 20 2024, in the market the price of the informal currency is $1185.00 for purchase and $1217.00 for...

Los Angeles horoscopes and positive energies to be in harmony this Monday, May 20

Angels and archangels manifest themselves in many ways and at different times, open your heart and fill yourself with the energy that they emanate...