Moreover, we noted that the ECOFIN Council stands ready to take a decision under Article 104(9), on the basis of the Commission recommendation, should the two governments fail to act in accordance with their own commitments. We strongly urge the governments concerned to live up to their responsibilities. Confidence in the soundness of public finances is essential for sustainable growth in consumption and investment.
The June 2006 Eurosystem staff projections foresee growth in the 1.8-2.4% range in 2006 and between 1.3 and 2.3% in 2007. Risks to price stability are signalled by the 2 pillars of the monetary policy strategy. The first pillar, which indicates short-term to medium-term risks to price stability, shows inflation above 2% for that period.