Speech by Isabel Schnabel, Member of the Executive Board of the ECB, at the 2026 US Monetary Policy Forum

New York, 6 March 2026

The post-pandemic inflation surge placed severe strain on our societies, fuelled political frustration and amplified institutional distrust. It also hit the most vulnerable hardest – those with low incomes and without real assets.

But although the scars of this episode are still visible, pressure is building on central banks around the world to shift their focus away from inflation and towards growth. These calls are emerging at a time when central bank independence is under mounting pressure and fiscal consolidation is being constrained by deep political polarisation.^[1]

In the euro area, these arguments are sometimes framed as a push for a dual mandate, urging the ECB to place greater weight on employment alongside price stability, often drawing explicit comparisons with the Federal Reserve’s statutory objectives.

In my remarks today, I will argue that…