At the ECB, the staff release their outlook for the economy and prices over the next two years. Behind the time frames of these reports lies the idea that the transmission of monetary policy through to the economy takes place with a long lag.
The banking sector registered a strong asset and capital base with the capital adequacy ratio of 18.6 percent as of December 2015, far higher than the statutory minimum of 8 percent. The sector’s asset quality remains good with the ratio of non-performing loans to total loans recorded at 5.3 percent during the period under review.