ECB set to debate impact of cheaper oil on stimulus

Frankfurt

MARIO Draghi and his colleagues are about to debate whether cheaper energy is a blessing or a curse.

When the European Central Bank (ECB) president convenes his Governing Council this week, the 24 policy makers will have to judge how the plunge in oil prices will affect inflation expectations in the euro area and what they should do about it. Crude's biggest drop in three years, after the Organization of the Petroleum Exporting Countries (Opec) opted not to reduce a supply glut, puts downward pressure on consumer prices that are already close to stagnating.