* * * *The text of this speech is broadly the same as my remarks at the MMF Monetary and Financial Policy Conference, in London, on 2 October 2017* The euro area continues to experience a solid, broad-based and resilient recovery. Deflationary risks have disappeared and some measures of underlying inflation have ticked up over recent months.
But overall inflation developments, despite the solid growth, have remained subdued. Accordingly, while we remain confident that inflation developments will eventually return to levels below, but close to, 2%, our medium-term objective, the evidence still shows insufficient progress towards a sustained adjustment in the path of inflation towards those levels.