The economic management of the euro area needs to reflect the increasing interdependence of euro area economies and ensure that the above-mentioned diversity can be addressed. I will now stress the importance of three “guiding principles” for this. a. The first principle is a rigorous implementation of the Stability and Growth Pact.
Of course, the ECB has to be credible in delivering price stability over time. And there is no better way to establish a reputation than for the public to see us behaving consistently, in a focused way. The ECB is a young institution, but our track record over the past ten years has been widely recognised as being more than satisfactory.