A member of the ECB has signaled that interest rates will be raised in 2023

European Central Bank (ECB) Governing Council Member Klaas Knot told a newspaper that the asset purchases will end by the end of next year, and then there may be an increase in interest rates. Asked whether his Frankfurt counterparts shared a similar view, Knot said: "We'll see, but I think they agree. It is important to see how the economy will progress in this period. A year is a long time." Knot also stated that the effect of the Omicron variant on prices will decrease next year, but if this effect increases further, the bank will quickly change its policy. The European Central Bank (ECB) announced at its meeting this month that the pandemic emergency asset purchase program would end, while normal asset purchases would be increased during this transition period. Other central banks act more quickly on tight monetary policy. While the Fed accelerated its asset purchase program, the Bank of England made a surprise interest rate hike this month, citing "inflation".