Rebuffing critics, ECB chief promises to increase inflation

The President of the European Central Bank (ECB) Mario Draghi speaks during the new year's reception of Deutsche Boerse (German stock exchange ) at their headquarters in Eschborn, outside Frankfurt, Germany, January 25, 2016. REUTERS/Kai Pfaffenbach

FRANKFURT (Reuters) - European Central Bank President Mario Draghi promised on Monday to increase inflation, rejecting criticism of the ECB's loose monetary policy and arguing that sluggish growth in prices was damaging the euro zone economy.

Speaking to an audience in Germany, on of the countries most sceptical of ECB policy, Draghi said the bank's 1.5 trillion euros of asset purchases were doing their intended job, and letting prices fall would lead to higher debt and unemployment.