The rate of price increase in the euro area was 1.1% - a dream result even by German standards. In January of this year, the inflation rate hit the 2% mark. But it is expected that it will be below 2% for the year 2000 on an annual average.
By its policy, the Governing Council of the ECB is making it absolutely clear that it will go on conducting a monetary policy oriented to internal stability in future. That monetary policy strategy is based on two pillars. Monetary growth - on which the first pillar of the ECB’s strategy rests - has been above the reference value of 4½% for some time.