- Monetary policy continued to operate in challenging environment
- Saw moderating financial fragmentation
- Price pressures receded further
- Medium to longer term inflation expectations remained firmly anchored
- EU economy emerged from recession due to revival in domestic demand and improved economic and financial sentiment
- Continued balance sheet adjustment and high unemployment dampened activity
- Inflation down on food and energy prices and underlying price pressures
- Subdued loan growth on weak demand
- Lowered rates on weaker inflation outlook in medium term
- Financial conditions improved on further fiscal consolidation and reduction of macroeconomic imbalances
- Demand for liquidity buffers returned to 2011 levels
- Large banking groups remained subdued in Q1-3 hampered by sluggish revenue growth and still elevated loan losses
- ECB towers nearly finished and reached final height of 185 meters
Looking ahead
- Important not to unravel past efforts but to sustain fiscal consolidation
- Strategies should ensure growth friendly consolidation
- Governments need to push ahead with product and labour market reforms to improve competitiveness and raise potential growth
2013: That was the year that was
Of course all this is history and there’s nothing really different from the party line. What is interesting is that they focus on Brent prices over the year. The report states that while prices remained at high levels it decreased by 3% on the rise in the euro. It’s interesting to note that they only use oil as a reference point compared to saying “Energy prices” when talking about inflation.
They were also taken to court over infringing a patent for printing bank notes but it was chucked out.
You can find all 265 pages of the report here.
