10  BIS Review 126/2007  Thus euro area unemployment has fallen sharply, reaching its lowest level since the start of monetary union. Although this outcome reflects, in part, a cyclical rebound, part of the decline in the unemployment rate may well be due to the impact of structural reforms.
The annual rate of change of loans to non-financial corporations (adjusted for loan sales and securitisation) was –3.1% in March, unchanged from February. Weak loan dynamics for nonfinancial corporations continue to reflect their lagged relationship with the business cycle, credit risk and the ongoing adjustment of financial and non-financial sector balance sheets.