We all have to be guided by a clear sense of direction towards the consolidation of EMU and the strengthening of European unity. In an international  BIS central bankers’ speeches  5  environment which comprehends so many hard challenges and so many opportunities Europe must be ahead of the curve and not behind the curve.
In this regard, when formulating “the price stability goal in the medium to long term,” the Bank took three aspects into consideration: (1) the measurement bias in the CPI; (2) the need for a safety margin that acts as a buffer against the risk of a vicious cycle of deflation and stagnation; and (3) households’ and firms’ perception of price developments.