This expectation, along with the assumption that other advanced nations may further deepen their monetary expansion, could keep world liquidity conditions relatively ample for some time. However, gradualism cannot be assured. In the event of a surprise tightening of the U.S. labor market, for instance, the monetary authority may be forced to change gears more significantly than initially planned.
Domestic demand grew faster than potential output, contributing to external deficits  2/6  BIS central bankers' speeches  Source: Banco de Portugal and Statistics Portugal External indebtedness was to a large extent intermediated by the Portuguese banking system.