A price-level target is similar to an inflation target, except that higher-than-target inflation in one time period needs to be offset by lower-than-target inflation in the next time period, and vice versa. If inflation comes in lower than target over a certain time period, monetary policy will be focused on raising inflation beyond the target over the subsequent time period.
The ECB and the entire Eurosystem fully support the efforts of the private sector and the EU institutions to enhance the integration and development of the European financial system. In this respect, the ECB works very closely with the European Commission, which has a primary responsibility in this field. The ECB report complements the work of the Commission in this area.