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ECB's Vasle sees rates much closer to 3% at year-end

Reuters
·1-min read
FILE PHOTO: European Central Bank (ECB) headquarters in Frankfurt

WASHINGTON (Reuters) - The European Central Bank deposit rate should be "much closer" to 3% by the end of the year from a record high of 4% currently if disinflation continues as expected, ECB policymaker Bostjan Vasle said on Wednesday.

"We should be much closer to 3% towards the end of the year if everything goes according to plan,” Vasle, Slovenia's central bank governor, told Reuters on the sidelines of the International Monetary Fund and World Bank's Spring Meetings.

He cautioned, however, that he saw "some worrying developments in the Middle East" after Iran's attack on Israel last weekend.

(Reporting By Francesco Canepa; Editing by Leslie Adler)