At the same time, macroeconomic imbalances across the euro area need to be addressed by suitable policies geared towards fostering competitiveness and spurring economic growth. In drawing the right lessons from this recent episode, the euro area has the chance to emerge strengthened from this crisis. As regards monetary policy, the ECB response to the challenges has been swift and resolute.
Besides the reduction in policy rates, the Eurosystem has implemented several non-standard measures that ensure the proper working of monetary policy transmission and the provision of liquidity to the euro area banking system. In particular with its most recent measures since December last year, the Eurosystem has crucially helped maintain the credit flow to the real economy.