At the Reserve Bank, we are aware that to be a good kaitiaki we must lead by example. In regards to our focus on climate change, we have pledged to: • monitor our own carbon footprint – our currency operations are by far the biggest component; • incorporate the impact of climate change on our core functions; and, • lead other institutions through collaboration.
We decided to raise interest rates in  BIS central bankers’ speeches  1  early 2011 given upside risks to the medium term inflation outlook stemming from energy prices and from ample monetary liquidity. However, the sovereign debt crisis deepened and the euro area entered a second recession. The inflationary pressures that had emerged before receded.