This shows that the ECB has achieved high credibility in terms of its primary objective of maintaining price stability. I should now like to explain the economic and monetary developments in the euro area and the outlook for price stability in the context of the two-pillar strategy. 3.
Countries agreed that lowering counterparty risk and ensuring effective supervision and regulation are the key to ensure secure and orderly development of the OTC derivatives market, which can be best achieved through centralized clearing. In April, the G20 agreed to introduce centralized clearing for Credit Default Swap (CDS) transactions, and efforts to do this are already under way in U.S. and EU.