The European Central Bank (ECB) is considering additional stimulus measures as inflation remains stubbornly below its target. Despite previous efforts, the central bank is struggling to boost price growth in the Eurozone.

Possible Measures Under Consideration

Sources suggest the ECB is evaluating a range of options, including:

• Expanding its asset purchase program (quantitative easing)
• Further cuts to the deposit rate
• Providing new targeted longer-term refinancing operations (TLTROs)

The decision will depend on upcoming economic data, particularly inflation figures and growth indicators. The ECB’s governing council is expected to discuss the matter in detail at its next meeting.

Concerns and Challenges

Some policymakers have expressed concerns about the potential side effects of further stimulus, such as:

• Distortions in financial markets
• Reduced incentives for governments to implement structural reforms
• Potential for asset bubbles

However, the ECB remains committed to achieving its inflation target and is prepared to take action if necessary. The situation is being closely watched by investors and economists alike.