But this requires monetary policy in the euro area to remain patient, persistent and prudent. Recent economic developments In 2017, growth in the euro area turned out stronger than we had anticipated: the annual growth rate in the fourth quarter was the fastest for a decade. But in 2018, growth has moderated and, so far, has come in below our expectations.
In the latest Eurosystem staff projections, growth for 2018 has been revised down by 0.3 percentage points. This has prompted some questions about the sustainability of the ongoing expansion, which is unusual at such an early stage of the cycle. In historical terms, the current growth period is comparatively short in length and small in size.