The simple steps have been taken – the next ones could prompt more discussion in the European Central Bank (ECB).
At a conference in Bangkok on Friday, ECB President Christine Lagarde emphasized the need for people's inflation expectations to remain anchored given the "extraordinary uncertainty".
Christian Siedenbiedel
Editor in Business.
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"We central bankers really need to implement monetary policy that anchors expectations in the face of this uncertainty in order for those expectations to remain anchored at the 2 percent target," Lagarde said.
"We need to signal to the public, observers and commentators that inflation returns to our medium-term target on time in all scenarios," said the ECB President.
"It's the best we can do in the current environment."
Meanwhile, ECB chief economist Philip Lane pointed out that it would take some time before the interest rate hikes initiated by the currency watchdogs would have their full effect on the economy.
The bond market reacts relatively quickly, Lane explained at a presentation in Florence.
"There is essentially a one-to-one reaction in the bond market very quickly," said the central bank's chief economist.
In the case of loan interest, on the other hand, it takes a year.
In three months, around half of a monetary policy step is reflected in lending rates, in six months around 80 percent.
It takes about a year for the step to arrive there completely.
"We cannot expect monetary policy to have an immediate impact on financing conditions," Lane said.
However, monetary policy has the effect that, over time, financing conditions become sufficiently tighter, demand is dampened and price pressure lessens.