A very substantial degree of monetary accommodation is still needed - ECB's Praet

Important quotes from the keynote speech by Peter Praet, Member of the Executive Board of the ECB, at the IE Business School Leadership Forum, Madrid, 27 March 2017:

• Despite the recent increase in headline inflation, largely on account of rising energy and food prices, underlying inflation pressures remain subdued
• The comprehensive set of measures introduced since June 2014 has worked its way through the financial system
• We are confident that the ongoing economic expansion will continue to firm and broaden
• Improving consumer and business sentiment indicators, suggest that the cyclical recovery is gaining momentum
• Underlying inflation continues to remain very subdued
• Unutilised resources still weigh on wage and price growth
• We need to look through the recent surge in inflation
• Structural reforms can play a key role in turning the cyclical recovery into a structural recovery