Published: 21.11.2023
- Mārtiņš Kazāks, governor of Latvia’s central bank, discusses European Central Bank hikes and what “higher for longer” means.
- He is happy for interest rates to stay at their current level but could not “close the door” to further increases for two reasons.
- “One is of course the labor market — we still haven’t seen the wage growth peaking — but the other one of course is geopolitics.
- “We may have more shocks that may drive inflation up, and that’s why of course we have to remain very cautious about inflation developments."