The European Central Bank currently expects the pace of inflation cooling to be slightly faster than the September prediction. The latest forecast from the bank shows that the average inflation rates for 2024 and 2025 are expected to be 2.4% and 2.1%, respectively, while the previous forecasts were 2.5% and 2.2%. After a 25 basis point rate cut, the European Central Bank stated in a release: 'The process of combating inflation is on the right track.' The bank noted: 'Domestic inflation has slightly decreased but remains high, primarily because wages and prices in certain industries are still adjusting to the previous inflation surge, but with significant delays.' The European Central Bank maintains its inflation forecast of 1.9% for 2026 and expects an average inflation rate of 2.1% for 2027.