This requires transparency in all areas relevant to the fulfilment of its mandate and a willingness to convey to the public, in a systematic and consistent way, all information relevant to its decision-making. Transparency is also essential to the effectiveness and success of the ECB’s monetary policy.
It should contribute to the anchoring of inflation expectations and minimise false expectations on the part of financial markets and the wider public regarding policy responses. For these reasons, the monetary policy strategy has been a key device. It clearly specifies how the ECB’s policy objective is to be understood.