I also said that I expected inflation to stay at the bottom of the 2-3 per cent range, with the possibility that it could go a little lower for a while. Now I think I could be excused for wanting to walk away from earlier forecasts as a result of the current turmoil in Asian and world financial markets.
Every month the Governing Council of the ECB calls upon all the banks in Europe to do all that is necessary to reinforce their balance sheets, to retain earnings, to be cautious and moderate as regards remuneration and to have recourse to a public backstop, where necessary. 10. What are the challenges facing the new President, Mario Draghi?