ECB Better Off to Wait Than Rush Into Rate Action, Demarco Says

Given still high uncertainty over the Iran war the European Central Bank would be better off waiting a little longer before raising borrowing costs rather than acting too soon, Governing Council member Alexander Demarco said.

“For now, it’s a bigger risk to rush raising rates and do some undue damage to the economy if it turns out that such a step wasn’t necessary compared to the risk of waiting a bit longer and perhaps have to catch up as we currently have credibility on our side to do that,” the Maltese official said in an interview.