Furthermore, there is still uncertainty regarding the improvement in the labour market: in particular, whether the improvement is a result of a decline in labour force participation rates, which could reverse should the improvement in the economy be sustained.
Finally, there is still a great deal of uncertainty about whether potential growth rates will return to pre-crisis levels or settle at a lower level, and this is likely to have implications for the longer term neutral rate of interest. The Eurozone appears to be improving following a weak few quarters, with positive growth impulses from the weaker euro and lower oil prices.