European Central Bank member and Governor of the Austrian National Bank, Robert Holzmann, told Politico on Monday that the decision to cut interest rates is by no means a foregone conclusion - it is not a sure decision - from his perspective.
In this context, Holzmann indicated that recent data has shown inflation in the Eurozone remained above the European Central Bank's target of 2% during December.
He further explained that the situation is likely to be the same for January, and in addition, Holzmann stated that the European Central Bank risks undermining its credibility if it lowers interest rates while inflation rises faster than the bank initially anticipated.
