This is a key determinant for the currency’s use as a medium of exchange and a unit of account. And the third factor is a developed financial system with deep and liquid markets  2  BIS Review 29/2004  offering participants a wide range of services and products in terms of borrowing, investing and hedging.
With these decisions, the Eurosystem continues to provide liquidity support to the banking system of the euro area for an extended period at very favourable conditions and to facilitate the provision of credit to the euro area economy. Let me now explain our assessment in greater detail, starting with the economic analysis.