This expectation is based on an overall subdued outlook for inflation extending into the medium term, given the broadbased weakness of the economy, the high degree of unutilised capacity and subdued money and credit creation. We are monitoring developments on money markets closely and are ready to consider all instruments available to us.
Overall, we remain firmly determined to maintain the high degree of monetary accommodation and to take further decisive action if required. Let me now explain our assessment in greater detail, starting with the economic analysis. Real GDP in the euro area rose by 0.3%, quarter on quarter, in the last quarter of 2013, thereby increasing for three consecutive quarters.