¡Substantial economic weaking in the Euro zone can not be ruled out

ECBfs Liikanen

¡Likely global growth in late 2011 and early 2012 will be weaker than expected.
¡Uncertainties related to decision making and public finances have exacerbated problems.
¡Substantial economic weaking in the Euro zone can not be ruled out.
¡Sees equally strong upside and downside risks to inflation outlook.
¡Uncertainty has also increased in emerging economies.
¡ECB has sought to ensure liquidity for European banks.
¡ECB balance sheet growth doesnft boost inflation, and the ECB has sterilized bond purchases.