6  BIS central bankers’ speeches  composition has acted as an internal adjustment mechanism, whereby the fallout of funding pressures in the banking system has been directed into the Eurosystem and away from the real economy.6 This has buffered the adjustment of the real economy and kept trade and financial flows flowing across euro area countries, thereby preventing disorderly deleveraging.
These are also the expectations of the financial and corporate sectors. Anchored inflation expectations are indicative of monetary policy credibility, which contributes to greater resilience to potential negative effects of developments in the international environment.