Finally, a monetary policy that is credibly geared to achieving price stability also avoids creating moral hazard problems and, as a result, excessive risk taking, which might arise if financial market participants expect that monetary policy will help cushion a potential fall in asset prices or will “inflate the economy” in response to a financial crisis.
The Consultative Group to Assist the Poor (CGAP) defines financial inclusion as a “state in which all people who can are able to have access to a full suite of quality financial services, provided at affordable prices, in a convenient manner, and with dignity for the clients”.