Euro Area Policies: Staff Report for the 2012 Article IV Consultation with Member Countries
IMF Staff Country Reports, July 18, 2012
Source details
- Canonical URL
- Euro Area Policies: Staff Report for the 2012 Article IV Consultation with Member Countries
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Bibliographic details
- Published: July 18, 2012
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781475505771.002
Executive summary
- The 2012 Article IV Consultation report on euro area policies highlights that "investors are withholding funding from member states most in need, moving capital “north” and abroad to perceived safer assets."
- Executive Directors have noted that the euro area continues to face "a number of economic challenges amid increasing financial stresses and market fragmentation."
- Directors have also stressed that "it is important that policymakers continue to demonstrate shared and unequivocal commitment—with a clear, credible roadmap—to a deeper integration of the euro area."
Major findings and diagnostics
- Capital flows: Investors are withholding funding from member states most in need and moving capital "north" and abroad to perceived safer assets.
- Financial conditions: Increasing financial stresses and market fragmentation across the euro area were identified as key constraints.
- Integration imperative: Continued and demonstrable shared commitment to deeper euro area integration is emphasized as critical.
Policy recommendations and priorities
- Demonstrate shared and unequivocal commitment to deeper euro area integration.
- Provide a clear, credible roadmap for further integration to reduce market fragmentation and financial stresses.
- Address funding shortages for member states most in need by restoring investor confidence and reducing cross-country capital flight.
Subject classification and keywords
- Subject: Bank credit, Banking, Deposit insurance, Economic integration, Fiscal consolidation, Fiscal policy, Fiscal union, Inflation, Monetary unions, Money, Prices
- Keywords: Bank credit, CR, ECB data, ESM framework, ESM resource, euro, Euro Area authorities, Euro Area recommendation, Europe, european financial stability facility, Fiscal consolidation, Fiscal union, Global, growth, headline inflation, Inflation, ISCR, Monetary unions, rate
Publication facts and metadata
- Publication title: Euro Area Policies: Staff Report for the 2012 Article IV Consultation with Member Countries
- Publication date: July 18, 2012
- Format options mentioned: Download PDF; More Formats on IMF eLibrary; Order a Print Copy
- Pages: 52
- Volume: 2012
- Issue: 181
- Series: Country Report No. 2012/181
- DOI: https://doi.org/10.5089/9781475505771.002
- Stock No: 1EUREA2012001
- ISBN: 9781475505771
- ISSN: 1934-7685
International Monetary Fund — Euro Area Policies: Staff Report for the 2012 Article IV Consultation with Member Countries; https://www.imf.org/en/publications/cr/issues/2016/12/31/euro-area-policies-staff-report-for-the-2012-article-iv-consultation-with-member-countries-26074
Content in this bundle
- Euro Area Policies: 2012 Article IV Consultation; IMF Country Report No.12/181; July 3, 2012