a positive – but very close to zero – inflation rate. the risk of deanchoring medium - term inflation expectations does not seem imminent, but even so, the tendency in recent months is once again somewhat worrying. the phenomenon of inflation - free growth we are experiencing is one of the most noteworthy features of global economic developments in recent years, and a subject of debate and analysis by international economic organisations, academics and experts. the course of energy prices and globalisation are undoubtedly explanatory factors, but the phenomenon is admittedly one that poses many questions and, consequently, difficulties for economic policy. ecb measures for several years ecb monetary policy has striven to resolutely support economic recovery through standard and non - standard measures. after exhausting the standard measures, in september 2014 the ecb announced its quantitative easing programme with two new components : the asset - backed securities ( abs ) purchase programme and the covered bonds purchase programme. subsequently, in january this year an agreement was reached to extend the programme to include public securities. as at 30 september 2015, the assets acquired by the eurosystem under the expanded purchase programme amounted to slightly more than €475 billion, a substantial amount of which ( almost 72 % ) comprised government bonds. the programme has helped enhance monetary policy transmission, by reducing the fragmentation of european financial markets, and provided for lower borrowing costs for households and firms. the depreciation of the euro has also contributed to easing financing conditions. at its meeting on 3 september 2015, the governing council of the ecb expressed its readiness and ability, if required, to allow for more accommodation in its monetary policy stance. to this end, it could – if considered necessary – use the flexibility already embedded in the purchase programme to increase its size and extend its duration or modify its composition. the spanish economy to conclude, i would like to briefly discuss the spanish economy and its outlook. during 2015 the spanish economy has been in what we could call a “ virtuous triangle ”, by simultaneously meeting three conditions : robust inflation - free growth, job creation and an external surplus. in 2015 we are going to achieve gdp growth of more than 3 %, a negative average annual inflation rate, a current account surplus of more than 1 pp of gdp, and growth in employment and social security registrations, prompting expectations of an unemployment rate of less than 20 % of the labour force by end - 2016. however, the degree of uncertainty in economic projections has widened notably in recent months

luis m linde : from restructuring to transformation speech by mr luis m linde, governor of the bank of spain, at the 6th financial meeting “ from restructuring to transformation ”, organized by expansion / kpmg, madrid, 20 october 2015. * * * firstly, thank you very much for the invitation to open this 6th financial meeting organised by expansion - kpmg. this meeting is now a classic in our calendar and always provides the occasion for interesting reflections and discussions. one year on from the start - up of the banking union, the european financial system can be said to have been strengthened, though this clearly does not mean that it is not facing major challenges and problems. i would sum up the key features here in the following six points : 1. first, following the balance sheet analysis and the stress tests of institutions subject to ecb supervision, and the start - up of the single supervisory mechanism, today there is more awareness of europe ’ s banking system and of its greater reliability. 2. second, solvency levels have been shored up : europe ’ s banking system is now sounder. 3. third, in my opinion, is the greater transparency achieved regarding the situation of the major european banks. and this, together with the single supervisory mechanism and the strengthening of solvency levels, has helped pave the way for banking mergers and consolidation, which were far less conceivable before the start - up of the banking union. 4. fourth, alongside the single supervisory mechanism, the single resolution mechanism, the resolution board and the single resolution fund are also being created and will likewise be pivotal to the construction of the banking union. 5. fifth, this progress has notably coincided with very low interest rates, increasingly stringent regulatory requirements and strong competition, bringing pressure to bear on profitability. this may lead to attempts to achieve greater profitability at a higher risk, something that the supervisory authorities must monitor closely. 6. sixth, from the standpoint of banking system users and customers, in the last two years a decline in and the practical removal of financial market fragmentation has been achieved. for spain, the latest data indicate that the deleveraging of households and non - financial corporations is continuing, albeit less intensely. at the same time, there is an increase in the number of firms witnessing how their credit volume is growing ( currently more than 40 % of non - financial corporations are increasing their borrowing ). these firms generally have a better balance sheet position and a brighter economic