25  Flexible inflation targeting (IT) framework which requires achievement of the desired inflation target over the medium-term makes it easier for central banks to look not only for price stability, but also consider other variables, such as the output gap or the exchange rate.
In a sense, flexible IT also implies a departure from the corner solutions of the ‘Impossibility Trinity’ of fixed exchange rates, independent monetary policy and perfect capital mobility. 26  Watanagase Tarisa (2012), Remarks at Monetary Policy Workshop on Strengthening Macroprudential Frameworks organised by IMF Regional Office for Asia and Pacific (OAP) March 22–23, Tokyo, Japan.