Since then, economic developments, which point to a gradual economic recovery in the euro area in the course of 2002, have been largely in line with the Governing Council's expectations, and we consider the current level of the key ECB interest rates appropriate to maintaining price stability over the medium term.
To briefly conclude on monetary policy, the ECB has, in my view, proved itself capable of adapting to and operating in a difficult economic environment. While inflation has been above the definition of price stability for some time, medium-term inflationary expectations, as implied in bond yields or in forecasts and surveys, have consistently been below 2%.