We are seeing the first, timid signs of an economic recovery; investors are regaining their appetite for risk. It is critical that euro area governments boost confidence in the soundness of public finances as an element to support both the recovery and long-term economic growth.
As regards monetary policy, it is equally important to draw up a strategy for withdrawing in due course the extraordinary measures that have been implemented or announced. The ECB obviously cannot maintain the current degree of support indefinitely. We are providing substantial short-term support to the financial system and the real economy, and thereby ultimately maintaining price stability.