European Central Bank should consider 'clearer' inflation target - Schnabel

The European Central Bank (ECB) should think about formulating its inflation target more clearly, Isabel Schnabel, the bank's newest board member told a German newspaper in remarks published on Tuesday.

"The (inflation) target worked very well in the past but structural changes in the economy justify a careful discussion," Schnabel told Germany's Sueddeutsche Zeitung daily when asked what she made of the ECB's target of 'below but close to 2%'.

"We should also think whether we want to formulate this target in a clearer manner. It is foremost about how we can best reach the prime target, which is price stability. This is the objective that should guide us."

The ECB is starting a one-year review of its monetary policy strategy this month and plans to take a closer look at its target and the tools it uses to achieve that target.