I am well aware that considerable progress has already been made on this path in several countries but some work still remains to be done. EMU can work as a catalyst in this respect, speeding up the necessary political decisions within CEECs and helping the respective central banks.
Measures taken to address the unfolding crisis had unintended consequences resulting in a constant mutation – for instance from a sub-prime crisis in the US affecting home owners and lenders to a systemic banking crisis; from a systemic banking crisis to a fiscal deficit and sovereign debt crisis in many countries in Europe; from a wave of significant capital inflows and appreciating currencies in emerging economies to where more recently emerging markets have had to deal with a reversal of these flows and depreciating currencies, at a time when many of them are also facing rising inflation and slowing growth.