potential output ten years from now will be close to 2 %. but over the coming years, the greek economy is expected to grow at rates higher than potential for a number of reasons. first, private sector savings ( including net capital transfers ) are unusually high, averaging around 15 % of gdp in 2021 from 6 % of gdp on average in the five years before the covid - 19 pandemic. this is the result of higher precautionary savings, a postponement of consumer and other spending, state aid and moratoria on loan / tax obligations. the high savings are reflected in the increase in private sector deposits by 34 billion euros – i. e. 20 % of gdp – from march 2020. the gradual de - escalation of the high savings rate will boost domestic demand and especially private consumption. second, greece will receive approximately € 30. 5 billion from the resilience and recovery fund. ngeu funds are targeted at growth - enhancing high value - added projects in the areas of energy saving, the transition to green energy, the digital transformation of the public and the private sector, employment, social cohesion, and private investment and will be disbursed upon conditionality. channeling these resources to sustainable investment projects will boost real gdp by 7 % by 2026 and will contribute to the increase of employment, private investment, 1 / 3 bis central bankers'speeches exports and tax revenue. at the same time, greece will receive 40 billion euros from the structural funds over the coming years and also increased foreign direct and indirect investment is expected to be attracted. it is also noted that, in the medium term, the prospects for high growth rates arise not only from the expected investments but, more importantly, from the increase in productivity that will be caused by the reforms envisaged in the national recovery and sustainability plan “ greece 2. 0 ” – market liberalization, privatizations and increased investment in education – as well as the digital and green transition. third, the increased ability of the banking system to contribute to the financing of viable investment projects. the stock of deposits in the greek banking system is currently around 176 billion euros, i. e. at the level of september 2011. moreover, during the past few years, the financial fundamentals of greek banks improved significantly. compared to march 2016, the stock of non - performing loans was reduced by more than 50 %, mostly through securitizations with the use of the hellenic asset protection scheme.

tobin said that we know little about predicting inflation. that remains true today. in a world prone to supply disruptions and susceptible to political uncertainties, monetary policy can only try to buffer the effects of external shocks on the real economy and on inflation. the past two years have seen an escalation of violence, with russia's unjustified war against ukraine and the unfolding of the middle east crisis last autumn. 2024 is a year of increased electoral activity. there are five months to go to us elections, the outcome of which could alter the course of the global economy. nationalist parties made major gains across the euro area in the european parliament elections, challenging leaders in germany but also france, where snap elections have been called. monetary policy has navigated in the turbulent waters of heightened uncertainty in the past several years. it will continue to navigate in those turbulent waters in the period ahead. 4. climate change challenges at the ecb we have a very clear mandate, which is enshrined in the treaty and has a focus on price stability. we also have an important role to play in addressing the challenge of climate change, always within the limits of our mandate. physical and transition risks can threaten price stability, but also become a source of instability and vulnerability for the financial system, thereby also affecting the transmission of monetary policy. at the same time, in addition to the risks created by climate change, adapting to climate change can bring opportunities, as required investment will bring new, 4 / 7 bis - central bankers'speeches more efficient and more sustainable forms of development, towards a more resilient and green economy. the financing of these investments is also an opportunity for the financial system and the more efficient use of the savings of european citizens. at the ecb we have different sets of actions, from risk management to better macroeconomic modelling and to including climate change risks and mitigation measures in many aspects of our work. 5. policy challenges related to recent political developments monetary policy has a single anchor in price stability, and that anchor is immune to political influence. as an independent institution, the ecb will continue to conduct its monetary policy to attain its price stability objective. the ecb has earned its credibility by focusing on this objective, and not being diverted by political pressures. it will continue to be led by its mandate in the future. the economic agenda of some of political parties is disconcerting, because it includes such policies as increased protectionism and highly expansionary fiscal