Euro Area Policies: 2007 Article IV Consultation: Staff Report; Staff Supplement; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Member Countries
IMF Staff Country Reports, July 31, 2007
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- Euro Area Policies: 2007 Article IV Consultation: Staff Report; Staff Supplement; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Member Countries
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Bibliographic details
- Published: July 31, 2007
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451813074.002
Economic outlook and drivers
- The report finds the economy "poised for a sustained upswing" driven by cyclical considerations and policies with a "forward-looking cast."
- Key factors supporting the upswing include cyclical momentum and policy settings described as forward-looking.
External position and exchange rate
- The area’s external position and the real effective exchange rate of the euro are "within range of medium-term equilibrium."
Inflation and monetary policy
- Stabilizing inflation "below 2 percent" might well require a "further gradual tightening of monetary policy."
Financial sector performance
- Increased contestability and integration in the financial sector is identified as "key to improving performance."