Lagarde: We will reach 2% inflation target

European Central Bank (ECB) President Christine Lagarde said she was confident they would hit their 2% inflation target. “We want to bring inflation to 2% and we will do it,” she told La Tribune Dimanche in an interview, adding that an inflation spiral “must be prevented.” The ECB last month raised borrowing costs for the 10th time in a row, taking the deposit rate to a record 4%. While most policymakers say maintaining that level for a while should be enough to bring inflation back to target, more hawkish officials say further increases may be needed. “The ECB’s key interest rates have reached levels that, if maintained for a long enough period, will decisively contribute to bringing inflation back to our target as quickly as possible,” she said, reiterating her institution’s latest policy stance. In her statement, Lagarde also said about the status of Europe's natural gas reserves, "As of September, more than 90 percent of Europe's gas reserves were full, which allows us to face the winter with much more confidence."