For macroeconomic stabilization to be successful, monetary policy needs to continue to be complemented by targeted and coordinated fiscal measures. The new strategy recognizes the importance of pursuing a counter-cyclical fiscal policy that enhances the effectiveness of monetary policy.
It is worth emphasizing at this point the unprecedented joint action of the Member States of the European Union to stem the pandemic and support the economy. The main initiatives include providing the maximum possible fiscal flexibility provided for in the Stability and Growth Pact and the Multiannual Financial Framework Agreement.