A survey released by the European Central Bank (ECB) on Friday showed that inflation expectations in the eurozone have remained largely unchanged over the past three months, with price increases expected to decline rapidly next year and return to the 2% target level by 2028. Inflation is the ECB's primary concern, and the inflation rate has remained around 3% in recent months due to soaring energy costs. However, most economists believe that inflation may have peaked and will gradually decline to near the target level sometime in 2027. This survey is an important reference for the ECB's policy discussions. The survey shows that the inflation rate is expected to average 2.7% this year, unchanged from previous forecasts; the 2027 inflation forecast has been revised upward from 2.1% to 2.2%. The survey also shows that inflation will reach 2% in 2028 and remain at that level.
