However, if the dense fog surrounding the outlook for the global economy gradually clears and as a result firms and households come to expect higher economic growth than previously, the current degree of monetary policy accommodation is likely to become overly strong relative to the level of economic activity.
In particular, softening the Stability and Growth Pact by introducing further exceptions or treating in a special way specific expenditure items, such as public investment, would create further room for unwarranted discretionary decisions. It is also of crucial importance that the economic governance reform is fully implemented as soon as possible and without any transition period.