Key Points:
Inflation was far too high and was expected to remain above the governing council's target for an extended period of time.
A large number of members favoured raising the key ECB interest rates by 75 basis points.
Expectations for inflation remained stable, and wage growth remained moderate, with little evidence of second-round effects.
Over the entire projection horizon, the risks associated with the projected inflation path remained skewed to the upside.
The size of the upward revision in the staff inflation projection for 2024 was not deemed large enough to necessitate a more aggressive response.
The expected slowdown in economic activity would not be sufficient to significantly reduce inflation.
Without a timely reduction in monetary policy accommodation, inflationary pressures caused by euro depreciation may worsen.