ECB’s Knot says governments are not supporting efforts to tame inflation

Euro-area governments are choosing not to pursue budgetary policies that support the European Central Bank’s efforts to tame inflation, according to Klaas Knot, a member of the bank’s governing council.

Central bankers are confronted with a fiscal stance that is “completely out of line with the cyclical position of our economy,” the Dutch policymaker told a panel discussion in Slovakia. “And there is an unwillingness to be helpful in supporting us in trying to stabilise ...