Headline inflation expected to fall to 2% target in 2H 2025 - ECB economic bulletin

• Inflation is expected to decline from an average of 8.4% in 2022 to 6.3% in 2023
• Inflation is then expected to decline to an average of 3.4% in 2024 and of 2.3% in 2025
• Headline inflation is expected to fall to the ECB’s medium-term inflation target of 2% in the second half of 2025
• But HICP inflation excluding energy and food will remain above 2% throughout the horizon
• Risks to the economic growth outlook are on the downside, especially in the near-term
• The risks to the inflation outlook are primarily on the upside
• Tighter financing conditions would mitigate the build-up of financial vulnerabilities and lower tail risks to inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term over the medium-term
• Interest rates will still have to rise significantly at a steady pace to reach levels that are sufficiently restrictive to ensure a timely return of inflation to the 2% medium-term target
• Full release

There's nothing new here as this is mostly a capsule of views held by the ECB and policymakers have put out such remarks over the course of the past few months already.