Rather, it comments on the effective implementation of instruments and procedures as well as on the actual pursuit of the various tasks of the Eurosystem, notably the conduct of a single monetary policy for the euro area. Indeed, for the first time, this Annual Report gives a comprehensive account of the effective conduct of policies under the responsibility of the Eurosystem.
At our announcement date six weeks ago, we did not have a new projection in which to work out all the details and balance the forecast risks. The economy still had a significant degree of excess capacity, which acts to pull inflation down over time. Further, relative to our projection in the April MPR, we were monitoring growing downside risks on global economic activity.