policy, conditionality and market access – are thus necessary but in no way sufficient conditions for omts. the governing council will decide about the possibility of omts in each case independently and only bearing in mind monetary policy needs. this monetary policy orientation is also reflected in the design of omts. should they be conducted, they are limited to maturities of one to three years because other eurosystem monetary policy instruments are traditionally geared towards this short - term period. omts also differ significantly from government bond purchases made by the efsf or the esm, which provide financial support to stressed countries. the efsf and the esm render – under strict conditions – financial assistance in order to preserve financial stability and they can improve the financing conditions of the affected countries. with omts, however, it is not a matter of aligning the financing conditions of the member states of the euro area. omts do not aim to ensure uniform interest rates in the euro area. in a functioning market, risks are properly priced. omts should change nothing in that respect. therefore, fundamentally justified interest rate differences or default risk premia are not the focus. omts should only cut unjustified interest rate peaks. the ecb must not, cannot and will not replace the actions of democratically legitimised governments. on the contrary. omts are designed so that the market mechanism remains protected and the member states are required to undertake necessary reforms. despite this clear monetary policy orientation, there is public discussion about the legality of omts. out of respect for the judicial system, i shall not make any comments on pending proceedings. and according to my sense of justice, it would also be to the judges ’ credit to do the same. that ’ s why i take up the words of peter huber, the constitutional court judge. the ecb will wait for the decision of the european court of justice in “ all humility and calm ”. and like him, i am very optimistic that the interaction between the ecb and the court of justice will lead to “ a good result ”. until then, we are not limited in our actions. in february, the federal constitutional court submitted questions of a legal nature about the omts to the court of justice for a preliminary ruling. however, the constitutional court reserves the right to decide on the compatibility of omts with germany ’ s constitution. with bis central bankers ’ speeches its submission, the federal constitutional court is acting in a spirit

european central bank : press conference – introductory statement introductory statement by mr jean - claude trichet, president of the european central bank and mr lucas papademos, vice - president of the european central bank, frankfurt am main, 15 january 2009. * * * ladies and gentlemen, the vice - president and i are very pleased to welcome you to our first press conference of 2009. let me therefore wish you all a very happy new year. i would also like to take this opportunity to welcome slovakia as the 16th country to adopt the euro as its currency. accordingly, mr sramko, the governor of narodna banka slovenska, became a member of the governing council on 1 january 2009. following the adoption of the euro by slovakia there are now 329 million citizens using the euro as their currency. we will now report on the outcome of today ’ s meeting of the governing council, which was also attended by commissioner almunia. on the basis of its regular economic and monetary analyses, the governing council decided to reduce the interest rate on the main refinancing operations of the eurosystem by a further 50 basis points, bringing the total reduction since 8 october 2008 to 225 basis points. today ’ s decision takes into account that inflationary pressures have continued to diminish, owing in particular to the further weakening in the economic outlook. looking forward, we continue to expect inflation rates in the euro area to be in line with price stability over the policy - relevant medium - term horizon, thereby supporting the purchasing power of incomes and savings. after today ’ s decision we consider risks to price stability over the medium term to be broadly balanced. this takes into account the latest economic data releases and survey information, which add clear further evidence to the assessment that the euro area is experiencing a significant slowdown, largely related to the effects of the intensification and broadening of the financial turmoil. both global demand and euro area demand are likely to be dampened for a protracted period. monetary expansion is moderating further, supporting the assessment that inflationary pressures and risks are diminishing. all in all, the level of uncertainty remains exceptionally high. the governing council will continue to keep inflation expectations firmly anchored in line with its medium - term objective of inflation rates below, but close to, 2 %. this supports sustainable growth and employment and contributes to financial stability. accordingly, we will continue to monitor very closely all developments over the period ahead. allow me to explain our assessment