---
title: "Lagarde: Inflation shock in the eurozone will last longer than expected — ECB ready for further tightening"
description: "Christine Lagarde stated that the inflation shock in the eurozone will last longer than expected due to the conflict in the Middle East and rising energy prices. The ECB this week raised its rate for the second time to 2.5% and is ready for further tightening."
date: 2026-09-13T07:41:27.000Z
lang: en
url: https://xab.info/en/posts/lagard-inflation-shock-eurozone-longer-than-expected-ecb-ready-for-further-tightening
tags: [ecb, inflation, christine-lagard, eurozone, interest-rates, energy-prices, middle-east-conflict]
publisher: "XAB.info"
---

# Lagarde: Inflation shock in the eurozone will last longer than expected — ECB ready for further tightening

![ECB President Christine Lagarde speaks at a podium bearing the European Central Bank logo against a blue backdrop](https://xab.info/media/2026/09/13/lagard-inflacionnyj-shok-evrozone-prodlitsya-dolgee-chem-ozhidalos/lagard-inflacionnyj-shok-evrozone-prodlitsya-dolgee-chem-ozhidalos-1.webp)

## 🎯 Key Points

- Lagarde stated that the inflation shock in the eurozone will be more prolonged than expected
- The ECB this week raised its key rate for the second time, bringing it to 2.5%
- Inflation in the eurozone exceeds 3% against a 2% target
- The ECB's updated forecasts point to rising inflation in 2027–2028
- Bundesbank President Nagel also supported the need to tighten rates

Christine Lagarde, President of the European Central Bank, stated in an interview with the Ouest-France publication, the transcript of which was published on the ECB's official website on 12 September 2026, that inflation in the eurozone will remain elevated for some time to come. In her words, the current inflation shock will prove more prolonged than analysts had previously assumed, and volatility and price pressure on energy will not abate in the foreseeable future.

### Prolonged shock and the threat of slowing growth

Lagarde emphasized that the eurozone economy is going through a serious shock that will likely last longer than built into previous forecasts. The ECB head predicted that the conflict in the Middle East will continue, and the persistent pressure on energy markets could slow the region's economic growth. At the same time, in her assessment, the economy has demonstrated resilience, which allowed the regulator to take the necessary countermeasures without losing control over the monetary process.

### Energy prices and geopolitical factors

Analyzing the causes of rising prices, Lagarde pointed to the war in Iran, as well as the destruction of oil refining capacity in a number of regions, particularly in Russia. In her words, it was precisely these factors that led to a significant increase in energy prices, which in turn pushed up the overall level of consumer prices. Under current conditions, inflation in the eurozone exceeds 3%, whereas the ECB's target is 2%.

### Monetary policy: the second rate hike

Against the backdrop of the sharp rise in oil and gas prices, the ECB this week decided on a second increase in interest rates. Following the adjustment, the regulator's key rate stood at 2.5%. According to informed sources, ECB Chief Economist Philip Lane considers this level the upper bound of the neutral range. Regulator representatives are reportedly of the view that rates will continue to rise until inflation returns to the 2% target.

### Forecasts for 2027–2028 and a revision of expectations

According to the updated forecasts published by the ECB this week, inflation in the eurozone will rise in 2027 and 2028. The projected inflation level for 2028 now slightly exceeds the 2% target. At the same time, economic growth forecasts were revised upward: the eurozone economy proved more resilient than expected in the face of the conflicts in the Middle East and other adverse factors, including the United States' trade policy.

### Positions of other central banks and the broader context

Earlier this week, the President of the German central bank (the Bundesbank), Joachim Nagel, also expressed the view that the ECB may need to tighten interest rates somewhat to contain price growth. Thus, the signal of readiness for further rate hikes is sounding not only from Frankfurt but also from Munich, which increases pressure on the regulator in favor of maintaining a tight monetary policy stance in the coming months.

## 🔍 Fact-Check Verification

- [ECB President: The current inflation shock will last longer than expected.](https://www.vietnam.vn/ru/chu-tich-ecb-cu-soc-lam-phat-hien-tai-se-keo-dai-hon-du-doan) - Русскоязычная версия основного материала. Подтверждает ключевой тезис Лагард о продолжительности инфляционного шока и ссылается на стенограмму интервью, опубликованную на сайте ЕЦБ 12 сентября.
- [ECB head: the inflation shock the eurozone has faced has not triggered dangerous secondary effects](https://www.finmarket.ru/database/news/6648408) - Дополнительный ракурс: Лагард отмечает отсутствие опасных вторичных эффектов (спирали «зарплаты–цены»), что согласуется с тезисом об устойчивости экономики, но не противоречит оценке продолжительности шока.
- [The ECB's new strategy: Lagarde announced the end of an entire era in monetary policy](https://ru.euronews.com/business/2026/06/30/christine-lagardes-speech-in-sintra-signals-a-new-playbook-for-the-ecb) - Контекстный материал от 30.06.2026 (выступление в Синтре). Даёт фоновое понимание смены подхода ЕЦБ, но не содержит прямых данных по текущему повышению ставки.

## ❓ FAQ

### Q: What is the ECB's key rate now?
**A:** Following the second hike this week, the ECB's key rate stands at 2.5%. The regulator's Chief Economist, Philip Lane, considers this level the upper bound of the neutral range.

### Q: Why, according to Lagarde, will inflation remain high?
**A:** Lagarde links this to the continuation of the conflict in the Middle East, rising energy prices due to the war in Iran and the destruction of oil refining capacity, including in Russia. She forecasts that volatility in energy markets will not abate in the foreseeable future.

### Q: What are the ECB's inflation forecasts for 2027–2028?
**A:** According to the updated forecasts, inflation in the eurozone will rise in 2027 and 2028. The projected level for 2028 slightly exceeds the 2% target.

### Q: Does the Bundesbank support tightening of the ECB's policy?
**A:** Yes. Bundesbank President Joachim Nagel earlier this week expressed the view that the ECB may need to tighten interest rates somewhat to contain price growth.