Hence, very close monitoring of all developments is of the essence in order to ensure that risks to price stability over the medium term do not materialise. This will permit medium to longer-term inflation expectations in the euro area to remain solidly anchored at levels consistent with price stability.
Therefore, looking ahead, acting in a firm and timely manner to ensure price stability in the medium term is warranted. As regards fiscal policy, almost all euro area countries have submitted their updated stability programmes.