The European Central Bank is getting closer to a pause in interest cuts since it is no longer clear that policy remains restrictive and energy price surges raise inflation risks, ECB board member Isabel Schnabel has said.

But ECB hawk Isabel Schnabel, a member of the six-person executive board which sets the tone for rate meetings, told the Financial Times that the central bank should “now” start to debate a “pause or halt” to rate cuts.

For those hoping for real clarity about what’s next for the ECB, the long-awaited working paper will have been a disappointment

The European Central Bank is getting closer to a point where rate cuts need to be stopped and policymakers should start debating this issue, ECB board member Isabel Schnabel told the Financial Times.