But, of course, even there you may encounter more turbulent waters – waves churned up by a passing boat, for example. I’m sure you’ll agree, Thomas, that we central bankers are currently faced with a fairly strong countercurrent. Euro-area inflation has been below the target of just under 2% for months now, with another negative rate of –0.3% recorded in February.
And the consensus is that the inflation outlook will remain subdued for some time to come. The ECB Governing Council has therefore decided to make extensive government bond purchases, thus progressing to an even more expansionary monetary policy stance. In terms of monetary policy, the Eurosystem is undoubtedly facing a difficult situation at the moment.