Therefore, the widespread belief of a premature end of the euro is unfounded. Still, the management of a single currency remains more challenging in a union of sovereign states compared to a political federation with centralized responsibility for fiscal and economic policy. I am confident though that Europe can overcome these challenges.
Recent institutional reforms to reinforce the euro area economic governance are going in the right direction. There can be no doubt, however that future steps for further European integration will be accompanied by a credible and stable Euro that deserves the faith of financial markets and international investors. Thank you for your attention. 8  BIS central bankers’ speeches