- Price pressures remain subdued
- Inflation well anchored
- May experience prolonged period of low inflation
- Will remain accommodative
- Expects key rates to remain at present or lower levels for extended period
- Watching money market conditions closely
- Data points to positive Q4 GDP
- Output expected to recover at slow pace through 2014 and 2015
- Unemployment remains high
- Balance sheet adjustment will weigh on economy
- Growth projections -0.4% 2013 unchanged
- Rasies 2014 GDP to 1.1% up from 1.0%
- 2015 1.5%
- Risks remain to downside
- Inflation to remain at current levels for coming months
- See annual HICP at 1.4% 2013 ( from 1.5% in Sep), 1.1% 2014 (from 1.3% in sep), 1.3% 2015
- Inflation risks broadly balanced
- M3 growth supported by inflows into Euro area
- Weak loan dynamics still seen, reflects economy and credit risk
- Comprehensive bank assessment will support confidence
- Need to push ahead with labour market reforms and increase competitiveness
On to the Q& A
