European Central Bank warns of greater inflation volatility amid global shifts

Amman, June 30 (Petra) – The European Central Bank (ECB) has warned that inflation is likely to become more volatile due to emerging global challenges, including trade and geopolitical tensions, artificial intelligence, and climate change underscoring the need for a more flexible monetary policy approach.

In a statement issued Monday, the ECB said these structural changes suggest inflation could increasingly deviate from its 2 percent target, prompting the bank to adopt a more adaptable stance in deploying its monetary policy tools to respond to evolving economic shocks.

//Petra// AF
30/06/2025 22:04:50