Since the CPI has a statistical tendency of demonstrating a higher inflation rate than the actual one, a sufficiently high inflation rate is necessary in order to ensure price stability. The second reason is with regard to securing policy room for the future. The level of nominal interest rates is usually determined in accordance with that of inflation rates.
In order to support these reform efforts the Eurosystem is providing technical assistance - mainly via its national central banks - and is making use of a common platform for a close policy dialogue. Almost 300 activities, comprising bilateral visits, seminars and technical assistance activities, were conducted between the Eurosystem and accession countries in 2000 in all areas of central banking.