Second, even though the saving ratio may decline slightly more, it wouldn’t surprise me if it remained above its pre-crisis level over the coming years as a result of heightened economic uncertainty. And third, a further strengthening in the growth rate of loans to households may still be contained by continued high debt levels and subdued developments in euro area house prices.
The euro area is drawing up a roadmap to complete EMU based on four key pillars: financial market union, fiscal union, economic union and political union. On financial market union, progress is already being made with the agreement to establish a single supervisory for euro area banks.