"The outlook continues to be surrounded by high uncertainty, with upside risks for inflation and downside risks for economic growth," European Central Bank (ECB) President Christine Lagarde said. BRUSSELS, Sept. 28 (Xinhua) -- European Central Bank (ECB) President Christine Lagarde said Monday that higher energy prices are increasing inflation risks in the euro area, although there are no signs yet that the effects are becoming embedded in the broader economy. Speaking at a hearing of the European Parliament's Committee on Economic and Monetary Affairs in Brussels, Lagarde said the ECB raised its three key interest rates by 25 basis points earlier this month.
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