ECB's Visco (Italy): Mid-term inflation expectations have decreased significantly, core inflation is more and more sensitive to weak demand levels
- Must avoid dis-anchoring of medium term inflation expectations
- Demand weakness at the heart of the EU economic crisis
- Need to prioritize infrastructure investment, developing capital markets and reviving securitization
- Restarting investment is critical for driving eurozone recovery, EU
- wide policy changes and member
- state reforms are both needed