The claim was that the central bank had $ billion in “excess reserves.” [In fact, Mr. Redrado had refused to transfer the funds; so the government attempted to fire him, by another emergency decree on January 7, 2010 for misconduct and dereliction of duty; this attempt, however, failed, as it was unconstitutional.]
Important steps have been taken on the European level as regards the implementation of fiscal rules and consolidation measures. The euro area general government deficit has declined significantly; public debt should stop rising next year and decline thereafter. The extent of the progress on this front is insufficiently acknowledged and worth noting.