After all, the end of the drought, together with the improving global environment and the recovery 5 For example, the Consumer Financial Vulnerability Index (computed by the Bureau of Market  Research, the University of South Africa, and Momentum) showed a significant deterioration in the second quarter of 2017.
For the euro area in particular, inflation expectations have remained very well anchored following the non-standard liquidity provision measures undertaken by the ECB. The anchoring of expectations at relatively low levels probably reflects continued negative output gaps in the euro area as well as confidence that the ECB will be able and willing to drain liquidity if and when necessary to control inflation.