ECB Vice President: Energy Prices Unlikely to Affect Inflation and Growth

On April 13, Jin10 reported that the incoming Vice President of the European Central Bank, Vujčić, stated on Monday that current energy prices remain closest to the ECB's baseline scenario and should not impact inflation and economic growth. According to Jin10, Vujčić noted that Europe's energy system is now more resilient to energy shocks from Middle Eastern conflicts due to diversified supply, compared to the situation during the Russia-Ukraine conflict in 2022. "We are not in an adverse scenario, let alone a very adverse scenario, whether in terms of oil or gas," Vujčić said at a financial forum in Croatia. "This is good news." He added that the intensity of the energy shock remains weak due to a two-week ceasefire in the U.S.-Iran war, but warned that if the conflict escalates again, markets could be affected.