Moreover, as it is imperative to contain upward pressure on prices in the medium term, the Governing Council of the ECB has gradually raised the interest rate on the main refinancing operations by a total of 2.25 percentage points to 4.75% since November 1999.
These measures aim at avoiding second-round effects on wage-bargaining and price-setting at the national level and at fostering confidence in the maintenance of price stability over the medium term. … The euro area is one large, relatively closed currency area which has replaced eleven smaller open currency areas, and the euro is one of the key currencies of the world.