Overall, there is no simple escape for a central bank from a rigorous analysis of the shocks hitting the economy and the underlying changes affecting the economic structure. A central bank can never simply steer monetary policy as the result of a calculation, the final stage of an algorithm or the functioning of a mechanism.
Results and challenges ahead The European strategy to deal with the crisis is delivering results, as interest rate differences between core and periphery countries have been reduced, programme countries have regained market access and the banking sector has been strengthened. However, many challenges remain. A key characteristic of the euro area economic recovery is the continuing decline in loans to the private sector.