Press Release: Quarterly report on the euro area: rapid, forceful and coordinated action is key to support the economy

Swift and coordinated implementation of the European Economic Recovery Plan is key to restore confidence and mitigate the effects of the crisis on the real economy, the Quarterly Report on the Euro Area (QREA) found. The financial crisis has intensified during the past three months, taking an increasing toll on the real economy. The Report examines to what extent financing costs have increased for the corporate sector since the summer of 2007 and how this is impacting economic activity. It also finds that the current contraction in non-residential investment points to a sharp cyclical correction ahead.