Despite the latest indicators showing encouraging signs of a gradual resumption of economic activity, unemployment remains historically high (12%) and varies widely across countries.1 Public debt is above 90% of GDP,2 which poses an additional challenge in a context of weak growth prospects. In turn, the financial markets remain highly fragmented, with continuing strong links between banks and their sovereigns.
Thus we must stay vigilant and work consistently towards making the euro area more balanced and resistant to shocks, anchoring measures taken to a long-term strategy.