This will allow me to cover several issues highlighted in the draft resolution. 1. Economic developments and monetary policy decisions  Following two years of recovery, the euro area moved into recession in 2012. Unemployment has reached unprecedented levels, especially among young people.
This economic weakness was driven by declining private consumption and faltering investment, in an environment of weak business and consumer confidence and financial market tensions. We expect a gradual recovery in euro area economic activity for the second half of this year. But this scenario is subject to downside risks.