ECB President LAGARDE said on Thursday governments may be inclined to increase control over monetary authorities, and that preserving central bank independence is increasingly important amid a more challenging global order. She warned the issue is now not just legal independence but the credibility needed to exercise it, saying trust takes long to build and can be lost instantly. LAGARDE said that over the past decade de facto independence has deteriorated at nearly half of central banks in coun

ECB President LAGARDE said on Thursday governments may be inclined to increase control over monetary authorities, and that preserving central bank independence is increasingly important amid a more challenging global order. She warned the issue is now not just legal independence but the credibility needed to exercise it, saying trust takes long to build and can be lost instantly. LAGARDE said that over the past decade de facto independence has deteriorated at nearly half of central banks in countries representing about 75% of global GDP. She added policymakers face a tougher backdrop—more frequent supply shocks, rising fiscal pressures and falling public trust—making credibility earned through action decisive.