But from August 2007 the stress in the financial system increased in waves. By March 2008, we are all aware, the crisis deepened and Bear Stearns had to be rescued from failure; six months later, on September 15, Lehman Brothers went bankrupt; and by the end of September, 2008 the global financial system itself was on the verge of collapse.
At today’s meeting, the Governing Council focused on two main topics: first, the implications of our strategy review for our forward guidance on the key ECB interest rates; and, second, our assessment of the economy and our pandemic measures. In our recent strategy review, we agreed a symmetric inflation target of two per cent over the medium term.