Financing conditions for households and firms, which are today exceptionally accommodative, will remain favourable; according to current market quotations, short-term interest rates in the euro area will stay negative in real terms for several years to come. The Governing Council stands ready to adjust all its instruments to pursue its medium-term inflation aim.
During the pandemic crisis, flexibility in the design and conduct of asset purchases was crucial to counter tensions on the financial markets; it remains a key element in our strategy in the event that malfunctions in the monetary transmission mechanism risk compromising the pursuit of price stability.