WASHINGTON (MNI) – Monetary policy will likely remain
unconventional for some time but there should be no doubt at all action
is being geared towards price stability, European Central Bank Governing
Council member Christian Noyer said Saturday.
“Monetary policy will likely for some time rely on a diversity of
instruments,” Noyer said during a panel discussion organized by the Bank
of France, which he heads, at the IMF-World Bank spring meetings.
Noyer said that in this “complex situation” it is essential that
there is a “clarity on the objectives” of central bank action. “There
should be no ambiguity about the reason why they have been doing so and
there should be no doubt about their commitment to price stability, he
said.
Should they lose that anchor [on expectations], they would also
lose any ability to intervene and the world would become an even more
dangerous place.
–Frankfurt newsroom +49 69 72 01 42; e-mail frankfurt@marketnews.com
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