Even with further interest cuts its monetary policy will remain restrictive for some time, according to what the Bank of Greece’s governor said, at Brussels Hellenic Network, Argo, in honor of the new Members of the European Parliament of Greece and Cyprus. Mr Stournaras stressed that the challenge for the ECB over the next period is to ensure that inflation continues to decline and is approaching our goal in time, while at the same time strengthening growth rates by reaching sustainable levels that guarantee full employment. According to the June projections, inflation is expected to be below the target in all quarters of 2026. He did not comment on the possible further interest cuts in the second half of the year, and noted that “we must wait to see how the figures will evolve and, secondly, even with further interest cuts, monetary policy will remain restrictive.” Source: RES-ICM