below trend pace over the past couple of years, consistent with a gradual rise in the unemployment rate. much of the growth this past year owed to rising resource exports, although growth outside the mining sector also picked up. however, with mining investment set to fall more sharply over coming quarters, gdp growth is expected to be below trend for a time before gradually picking up to an above - trend pace by 2016. the very low level of interest rates is supporting, and will continue to support, growth of household expenditure. in time, this is expected to support a recovery in non - mining business investment, and the economy more broadly, including an improvement in conditions in the labour market. if history is any guide, the recovery is likely to proceed in that order, from household expenditure to business investment to labour market conditions. history also suggests that a pick - up in business investment ( outside of the resources sector ) will come, in time. the fundamental forces are in place to support that recovery. and while i have suggested some reasons why business investment might not be quite as strong as past episodes of recovery might suggest, these don ’ t imply that the economy overall will be less strong than otherwise, but rather just one element of expenditure that we measure via the national accounts. bis central bankers ’ speeches

capital, which is decisive for maintaining the euro area ’ s competitiveness, is unused and at risk of deteriorating. the need for structural change and reforms for a long time, we have observed that in particular multinational enterprises could react flexibly enough to changing market conditions in different areas of the world by sufficiently adjusting their internal division of labour across borders. today - and this is one of the main features of globalisation that we observe – each individual has access to the world market via internet and can offer products and compare product prices. 10 it is this feature which, on the one hand, offers enormous opportunities for welfare gains but which, on the other hand, creates great challenges to competitiveness. thus, structural reforms need to be designed such that they offer each individual the chances of gaining from its increasingly global environment. in this regard, without aiming to be exhaustive, i would like to highlight four main areas, namely market integration and product market competition, r & d and innovation, an entrepreneurial - friendly environment as well as labour market flexibility. first, we need further steps in the liberalisation of international trade. a danger to world growth is that the current doha trade round does not succeed. as you know, negotiations were suspended last july, but i am very pleased that there is a tentative momentum building towards renewing negotiations, which was also seen in davos and was fully supported by the recent g7 in essen, whose members gave a clear commitment to the doha round of free trade talks and accepted their responsibility to ensure a successful outcome. i note that this momentum has now led to substantial moves in geneva, with the wto director - general, pascal lamy, announcing that he is beginning to reconvene the various negotiation groups. we can only wish him success and ask political leaders, who have said they would like to see a successful conclusion to the round, to follow through their words with deeds. furthermore, the euro area countries will be the more equipped for the increased globalised economy the more they are able to exploit the benefits of emu and the eu internal market. in this regard, existing impediments to the internal market for goods and services need to be removed and financial integration further fostered. further efforts in the fields of product market deregulation and liberalisation are required to raise product market competition – at the eu and national level. as the example of the european telecommunications market shows, this would enable more efficient production structures associated with a more competitive price setting