From the beginning of 1994, when the new stability oriented policy was initiated, a managed exchange rate was a key policy plank in the stabilization process and contributed importantly to disciplining economic agents and setting in motion wage and price restraint, which brought the rate of inflation down to some 2% on average in the twelve months to early 2000 thus making possible our Euroarea membership.
The Executive Board confirms its previously expressed confidence that year-on-year inflation will continue to fall and that its return within the target tolerance band is likely in the first quarter of the next year. BIS central bankers’ speeches  7