(Bloomberg) -- The surge in Irish inflation could last more than two years, deputy prime minister Leo Varadkar warned as he called for a “comprehensive” strategy to reduce the cost of living. 

“The spike in inflation is not temporary,” Varadkar told a webinar in Dublin. “It requires a long-term response as well as temporary measures.”

Ireland’s central bank raised its forecast for inflation in 2022 to 4.5% in January, but expectations have increased since Russia’s invasion of Ukraine. The Economic and Social Research Institute, a think tank, said on Wednesday inflation may top 6.7% this year and stay above 5% in 2023.

Ireland last month unveiled a package worth 505 million euros ($556 million) to ease the cost of living and cut tax on gasoline earlier this month. Still, the government may do more, including subsiding some state services and higher education, he said.

Varadkar renewed a call for central banks to “do their bit” to manage inflation. That includes “reigning in” quantitative easing rather than increasing interest rates. 

The European Central Bank surprised onlookers earlier this month as it announced plans to quicken the pace at which it removes stimulus in a bid to tame record inflation.

Read: ECB’s Visco Says Inflation Has Been Surprise to an Extent

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