It is a policy prescription that is commonly stated but – let’s admit it – rarely defined, and therein lies the problem. To some, the upper bound of international cooperation is determined by the advice to put your house in order.
Global economic growth has become more balanced across regions and, while moderating somewhat, remains robust, providing support for euro area exports. Domestic demand is expected to maintain its relatively strong momentum. Investment is expected to remain dynamic, benefiting from an extended period of very favourable financing conditions, balance sheet restructuring, accumulated and ongoing strong earnings, and gains in business efficiency.