The European Central Bank’s policymakers are locked in talks to agree its first new strategy for almost two decades which could be announced as early as Thursday and is likely to amend its inflation target and address climate change and housing costs.

The 25 members of its governing council are meeting on Wednesday in Frankfurt in an attempt to finalise the results of the 19-month-long review, according to two people involved in the discussions. It was not due to be announced until September but after policymakers reached agreement on some matters, ECB president Christine Lagarde is seeking to complete the talks.

Two members of the council told the Financial Times they were hopeful a formal decision could be made on Wednesday, after good progress over dinner on Tuesday night.