MNI BRIEF: ECB's Villeroy Still Sees Margin For Gradual Cuts

The ECB still has a margin to lower interest rates gradually thanks to the fall in inflation towards its 2% target, Bank of France Governor Francois Villeroy said Monday.

Speaking on RTL Radio, Villeroy noted the ECB's inflation target was 2%, adding "We are almost there, we are at 2.2%. We should achieve this objective and this means one important thing, which is that we still have a gradual margin for interest rate reductions."  (see MNI ECB WATCH: ECB Cuts 25BP, As Tariffs Add To Risk )

Villeroy went on to add that the challenges of the "Trump years", while difficult, presented an opportunity for France and Europe to achieve economic and financial sovereignty.