© Reuters. FILE PHOTO: Bank of France Governor Francois Villeroy de Galhau delivers a speech during the annual meeting of Small and Medium-sized Enterprises leaders at the Bank of France in Paris, France, October 22, 2021. REUTERS/Sarah Meyssonnier
MILAN (Reuters) – Euro zone inflation is not only high but increasingly broad, affecting items far beyond just energy prices, making it difficult for policymakers to simply “look through” it, French central bank chief Francois Villeroy de Galhau said on Thursday.
“But we’re seeing inflation in Europe which is not only higher, which is also broader,” Villeroy, who sits on the European Central Bank’s Governing Council, said.
“If it was only about energy prices, some economists would say you can look through, as they say, you can wait until these supply shocks stop,” he added.
Euro zone inflation broader than just energy prices: ECB’s Villeroy